Passage of Indian cargo through Ashuganj
Monday, 17 May 2010
Manzur Ahmed
While fully endorsing the valued opinions expressed by Mr. Hossain Zillur Rahman and Mr. Mirza Azizul Islam, ("Connectivity will be meaningful, if Bangladesh can export to north-eastern India without any hindrance"… "Bangladesh may lose the opportunity of exporting to the states known as seven sisters in India") as published in the Financial Express of May 15, 2010 in the news item about "the potential gain from the Ashuganj transshipment point, through which Indian cargoes can enter the north-eastern states of that country.", it must also be stressed here that the governing principles of "Transit and Transhipment in International Trade" as mandated under ARTICLE V of GATT 1994 taking into account the obligations, options and flexibilities available for Bangladesh must unequivocally be clarified and understood before accepting or adopting modalities on regional connectivity, transit and transhipment.
Bangladesh should have absolutely no obligation to allow "transit and transhipment" of goods from one place of India through Bangladesh to another place in India under the governing principles of "Transit and Transhipment in International Trade" as mandated under ARTICLE V of GATT 1994 (binding on both Bangladesh and India as members of WTO). The bait of carriage charge for Indian cargoes at the cost of marginalization of our natural advantage and perpetual loss of our potential export to the seven sisters can never be an option.
About "transit and transhipment Bangladesh should adopt as its strategy and uphold the doctrine of third country transit put forward by Honorable Indian Prime Minister, Dr. Manmohan Singh in his opening address given at the inaugural ceremony of the 13th SAARC Summit "that all South Asian countries would provide each other, reciprocally, transit facilities to third countries", which is the cardinal principle and the best interpretation of our international and regional commitments and obligations relating to trade related transit and transhipment in the region and beyond.
Extracts: 'We need to recharge and regenerate the arteries of transport and communication that bind us together and in turn link our region to the rest of Asia to reclaim the property that is undoubtedly our due.'……… 'In pursuit of this vision, let us agree, at this summit, that all South Asian countries would provide each other, reciprocally, transit facilities to third countries, not only connecting one another, but also connecting to the larger Asian neighborhood, in the Gulf, Central Asia and the South-East Asia."
Bangladesh is required to allow "Transit & Transhipment" of goods to a country through the territory of Bangladesh to a third country and vice versa through its land, air and sea ports subject to the restrictions to fulfill public policy objectives, inter alia, those laid down in GATT Articles XX and XXI which shall also include the capacity building, development of management, maintenance and protection of transit infrastructure.
Rights of transit and movement of vehicles for mutual or and international trade through the territory of the second country to a third country, as per GATT Article V, have also to be ensured by India to facilitate India-Bangladesh-Nepal-Bhutan trade.
However, as a gesture of good will, with the mutual approval of terms and conditions on case to case basis, Bangladesh may agree to provide passage through its territory non commercial cargo of goods and machineries relating to any public sector project for trade and economic development.
Movement of vehicles for mutual or and international trade to and from Bangladesh, Bhutan, India and Nepal have to be allowed for transit to designated port of export through specified routes or enter into zero point for transshipment as the case may be.
Appropriate protocol with regulations on fees and charges with harmonized and simplified customs procedures have to be operationalized to expedite mutual trade and third country transit facilitating movement of goods and vehicles to and from Bangladesh through the territories of India-Bangladesh-Nepal- Bhutan and beyond.
In order to ensure long term energy security Bangladesh must outsource its energy resources and Myanmar, because of its proximity, is the ideal source of most convenient, safe and continued supply of electricity, oil and gas.
Bangladesh therefore should agree, as the first beneficiary at virtually no cost, to allow Myanmar--India gas pipeline through its territory to avail the opportunity of obtaining supply of gas at highly cost effective price from Myanmar to meet its growing energy needs in addition to inherent revenue and other associated benefits. Bangladesh-India should also undertake joint ventures to harness energy resources in Myanmar for mutual benefit.
The writer is Chairman, Fair Trade Advocacy Centre and
BCCI Standing Committee on WTO and RTAs
Tel: 8899749
M 0167-0810916:
Email:
mahmed019@hotmail.com , a.manzur@yahoo.com
While fully endorsing the valued opinions expressed by Mr. Hossain Zillur Rahman and Mr. Mirza Azizul Islam, ("Connectivity will be meaningful, if Bangladesh can export to north-eastern India without any hindrance"… "Bangladesh may lose the opportunity of exporting to the states known as seven sisters in India") as published in the Financial Express of May 15, 2010 in the news item about "the potential gain from the Ashuganj transshipment point, through which Indian cargoes can enter the north-eastern states of that country.", it must also be stressed here that the governing principles of "Transit and Transhipment in International Trade" as mandated under ARTICLE V of GATT 1994 taking into account the obligations, options and flexibilities available for Bangladesh must unequivocally be clarified and understood before accepting or adopting modalities on regional connectivity, transit and transhipment.
Bangladesh should have absolutely no obligation to allow "transit and transhipment" of goods from one place of India through Bangladesh to another place in India under the governing principles of "Transit and Transhipment in International Trade" as mandated under ARTICLE V of GATT 1994 (binding on both Bangladesh and India as members of WTO). The bait of carriage charge for Indian cargoes at the cost of marginalization of our natural advantage and perpetual loss of our potential export to the seven sisters can never be an option.
About "transit and transhipment Bangladesh should adopt as its strategy and uphold the doctrine of third country transit put forward by Honorable Indian Prime Minister, Dr. Manmohan Singh in his opening address given at the inaugural ceremony of the 13th SAARC Summit "that all South Asian countries would provide each other, reciprocally, transit facilities to third countries", which is the cardinal principle and the best interpretation of our international and regional commitments and obligations relating to trade related transit and transhipment in the region and beyond.
Extracts: 'We need to recharge and regenerate the arteries of transport and communication that bind us together and in turn link our region to the rest of Asia to reclaim the property that is undoubtedly our due.'……… 'In pursuit of this vision, let us agree, at this summit, that all South Asian countries would provide each other, reciprocally, transit facilities to third countries, not only connecting one another, but also connecting to the larger Asian neighborhood, in the Gulf, Central Asia and the South-East Asia."
Bangladesh is required to allow "Transit & Transhipment" of goods to a country through the territory of Bangladesh to a third country and vice versa through its land, air and sea ports subject to the restrictions to fulfill public policy objectives, inter alia, those laid down in GATT Articles XX and XXI which shall also include the capacity building, development of management, maintenance and protection of transit infrastructure.
Rights of transit and movement of vehicles for mutual or and international trade through the territory of the second country to a third country, as per GATT Article V, have also to be ensured by India to facilitate India-Bangladesh-Nepal-Bhutan trade.
However, as a gesture of good will, with the mutual approval of terms and conditions on case to case basis, Bangladesh may agree to provide passage through its territory non commercial cargo of goods and machineries relating to any public sector project for trade and economic development.
Movement of vehicles for mutual or and international trade to and from Bangladesh, Bhutan, India and Nepal have to be allowed for transit to designated port of export through specified routes or enter into zero point for transshipment as the case may be.
Appropriate protocol with regulations on fees and charges with harmonized and simplified customs procedures have to be operationalized to expedite mutual trade and third country transit facilitating movement of goods and vehicles to and from Bangladesh through the territories of India-Bangladesh-Nepal- Bhutan and beyond.
In order to ensure long term energy security Bangladesh must outsource its energy resources and Myanmar, because of its proximity, is the ideal source of most convenient, safe and continued supply of electricity, oil and gas.
Bangladesh therefore should agree, as the first beneficiary at virtually no cost, to allow Myanmar--India gas pipeline through its territory to avail the opportunity of obtaining supply of gas at highly cost effective price from Myanmar to meet its growing energy needs in addition to inherent revenue and other associated benefits. Bangladesh-India should also undertake joint ventures to harness energy resources in Myanmar for mutual benefit.
The writer is Chairman, Fair Trade Advocacy Centre and
BCCI Standing Committee on WTO and RTAs
Tel: 8899749
M 0167-0810916:
Email:
mahmed019@hotmail.com , a.manzur@yahoo.com