Dhaka eyes equally beneficial economic partnership with New Delhi: Shama Obaed

State Minister for Foreign Affairs Shama Obaed Islam has said Bangladesh wants to see an economic partnership with India that is "equally beneficial and brings tangible changes" to the lives of people. "I am confident that the business communities of our two countries have both the vision and the capacity to make this happen. We can collectively identify practical solutions to the challenges," she said, noting that greater predictability and ease of doing business will benefit businesses in both countries.

The State Minister made the remarks while speaking at a reception yesterday (18 August) night.

Indian High Commissioner to Bangladesh Dinesh Trivedi hosted the reception in honour of leading Bangladeshi business leaders and a delegation from the Confederation of Indian Industry (CII). CII Director General Chandrajit Banerjee and Indian Deputy High Commissioner Pawan Badhe also spoke at the reception.

Shama Obaed held discussions with business leaders from India on  yesterday afternoon, during which they identified several issues.

"From my side, I have assured them that we will try our best to resolve those issues, and we want more vibrant trade, investment and communication between the two countries," she said, describing the meeting as productive and fruitful.

Investment Important Pillar
The State Minister said business visas for Bangladeshis should be issued more quickly so that businesspeople can travel to India more frequently.

"We want our businesses and private sectors to communicate with their counterparts in India more frequently," she said, noting that investment is an equally important pillar of the future economic relationship.

Bangladesh has offered Indian companies a large and growing domestic market, a substantial industrial workforce, competitive production capabilities, geographical proximity, and opportunities to connect with markets beyond Bangladesh.

"Our economic zones provide Indian companies with opportunities to establish dedicated manufacturing and export facilities. We would particularly welcome investments that bring technology, integrate local suppliers, and create employment. And, in the process, connect Bangladeshi products to regional and global value chains," Shama Obaed said.

Shama Obaed said the strength of the economic relationship between the two countries will ultimately be measured not only by government-to-government engagements and bilateral mechanisms but also by the contacts and partnerships that businesses establish with each other.

She said Bangladesh and India are geographically proximate, historically connected, and economically complementary. 

"These advantages provide us with a strong foundation to build a more balanced, interdependent and mutually beneficial economic partnership, a partnership that may generate greater trade, investment, technology cooperation and integration of value chains, and expansion of markets," she said.

The State Minister said India remains a major trading partner of Bangladesh in the region and that bilateral trade has grown significantly over the years.

"Yet we must also acknowledge that bilateral trade remains structurally imbalanced and much lower than its actual potential."

The State Minister said their objective should be to expand the overall economic partnership, overcome challenges, and create greater opportunities for trade, business, and investment on both sides.

She sees an important role for the Indian business community, saying Indian companies with established distribution networks can increase sourcing from Bangladesh in areas where Bangladeshi industries are already competitive, including ready-made garments, textiles, jute and jute products, leather and footwear, pharmaceuticals, agro-processing, ceramics, plastics and light engineering.

"We also recognise that there are challenges in doing business arising from non-tariff barriers, standards and testing-related difficulties, procedural delays, and infrastructure constraints that affect the smooth movement of goods and services," she said.

Shama Obaed requested the Indian business community, particularly members of the CII, who have considerable influence in India, to share the experience and perspectives gained through this visit with the relevant authorities in India so that they can collectively identify practical solutions to the challenges.

Business Community's Role
Highlighting the importance of economic and people-to-people ties, High Commissioner Dinesh Trivedi said the private sector has a crucial role in bridging differences between the two countries.

"No government in the world can provide everything. It always needs the private sector," he said, expressing gratitude to business communities on both sides.

The envoy identified people-to-people relations, employment, education, and health as key areas where Bangladesh and India can deepen cooperation.
"People all over the world have a big role to play in bridging this gap," he said, referring to the business community's role in strengthening bilateral ties.

The High Commissioner said India's "Neighbourhood First" policy reflects the importance New Delhi attaches to its relationship with Bangladesh.

Trivedi acknowledged that the two countries have gone through "hiccups" in their relationship, but said such difficulties should not undermine their longstanding bonds.

"We have all gone through hiccups here and there. I think that's quite natural; that also happens in a family. But that doesn't mean that we move away," he said.

"We deeply understand the concerns of brothers and sisters of Bangladesh," he said, while stressing that the relationship should be viewed as "a partnership of equals."

"This would be a golden chapter in the history of the relationship between India and Bangladesh because we have a lot to share with you," he said.

Trivedi referred to the shared cultural heritage of the two countries and called for a renewed "melody of relationship."

"Let's have this melody of relationship," he said, expressing confidence that the relationship could become "golden" and long-lasting.

The CII Director General said the warmth they received from the Bangladesh government and the country's industries was "just awesome, absolutely great."

"And this is something that we would like to live up to by creating more business opportunities," he said.

The high-level Indian business delegation from the Confederation of Indian Industry (CII) left Dhaka on this morning (19 August), an official told UNB.

Discussions during the visit focused on addressing issues of mutual interest and benefit, identifying emerging areas of cooperation, and facilitating greater engagement between businesses of the two countries.

Both sides explored opportunities for greater economic and commercial cooperation between the two countries.

The delegation, led by Chandrajit Banerjee, Director General, CII, comprised 14 business leaders representing prominent Indian companies and institutions, including Bharat Biotech, Infravision Foundation, Godrej Industries, Arvind Limited, LMW Global, Mahindra Group, Larsen & Toubro (L&T), Forbes Marshall, Numaligarh Refinery Limited, Apollo Hospitals and Indian Oil Corporation, along with officials from the CII Secretariat.

During the visit, the delegation met senior members of the Government of Bangladesh.