NBR opposes Indo-Bangla river treaty extension
Tuesday, 25 January 2011
Doulot Akter Mala
The National Board of Revenue (NBR) has opposed extension of Indo-Bangla river protocol for five years, fearing the long-term agreement might affect country's interest.
The board recently expressed its reservation about the extension of the agreement after the Shipping Ministry asked for its opinion. The tenure of the protocol is due to expire on March 31, 2011.
The protocol was first signed in 1972 and it is being renewed after two years.
The revenue board has forwarded its views recently to the Shipping Ministry.
The government has sought opinions from different ministries after the Indian authority proposed to extend the river protocol for five years instead of the usual two years.
"We've opposed extension of the river protocol to five years considering the country's long-term benefit," said customs member Hossain Ahmed.
"As far I know, majority of the government's ministries have opposed the extension of river protocol," he added.
As the country's transit and transshipment facilities opened this year, the mode of trade will be changed, many new bilateral issues will come with this trade liberalisation move, said another senior customs official.
It would not be wise to sign any agreement for five years just now, he said.
Under the river protocol agreement, India is paying 42.50 million taka as levy to Bangladesh for using the river routes.
Talking to the FE, Shipping secretary Abdul Mannan Howlader said: "We are yet to get all opinions from different ministries. It needs a detailed review."
A delegation from Bangladesh recently went to India to discuss this issue, he said.
The decision of extension of the river protocol might be taken before expiry of the agreement tenure, he added.
Officials said the country might put emphasis on increasing the annual fees for using waterways at the time of extension of the protocol.
They said the high-level meeting, now in progress in India, will take the decision on whether the government agrees with the proposal for extension of the agreement for five years.
As per the river protocol, Indian vessels are entitled to enjoy tax-free entrance to Bangladesh through river routes. The NBR has waived all the transit and transshipment fees for Indian vessels following the river protocol.
The National Board of Revenue (NBR) has opposed extension of Indo-Bangla river protocol for five years, fearing the long-term agreement might affect country's interest.
The board recently expressed its reservation about the extension of the agreement after the Shipping Ministry asked for its opinion. The tenure of the protocol is due to expire on March 31, 2011.
The protocol was first signed in 1972 and it is being renewed after two years.
The revenue board has forwarded its views recently to the Shipping Ministry.
The government has sought opinions from different ministries after the Indian authority proposed to extend the river protocol for five years instead of the usual two years.
"We've opposed extension of the river protocol to five years considering the country's long-term benefit," said customs member Hossain Ahmed.
"As far I know, majority of the government's ministries have opposed the extension of river protocol," he added.
As the country's transit and transshipment facilities opened this year, the mode of trade will be changed, many new bilateral issues will come with this trade liberalisation move, said another senior customs official.
It would not be wise to sign any agreement for five years just now, he said.
Under the river protocol agreement, India is paying 42.50 million taka as levy to Bangladesh for using the river routes.
Talking to the FE, Shipping secretary Abdul Mannan Howlader said: "We are yet to get all opinions from different ministries. It needs a detailed review."
A delegation from Bangladesh recently went to India to discuss this issue, he said.
The decision of extension of the river protocol might be taken before expiry of the agreement tenure, he added.
Officials said the country might put emphasis on increasing the annual fees for using waterways at the time of extension of the protocol.
They said the high-level meeting, now in progress in India, will take the decision on whether the government agrees with the proposal for extension of the agreement for five years.
As per the river protocol, Indian vessels are entitled to enjoy tax-free entrance to Bangladesh through river routes. The NBR has waived all the transit and transshipment fees for Indian vessels following the river protocol.