Today, during India-Bangladesh Business forum, Bangladesh PM H.E. Sheikh Hasina welcomed the Indian business entities to develop interest in doing business with Bangladesh. Explaining about the capable market, Hasina invited Indians to her country due to its conducive environment and sustainable development for business opportunities.
“We also welcome the developed idea of investment and trade between the countries. Indian investors must establish their industries in Bangladesh to provide business advantage to the South East Asian countries through India-Bangladesh connectivity” said Bangladesh Prime Minister.
Why Bangladesh for India?
PM Hasina explained that the trade and investment between two nations are expanding and volume of bilateral trade has consistently developed during the previous years. Trade balance is still with India at significant expansion. The volume of trade between two nations is about 10 billion dollars. In 2018, Bangladesh was India's eighth biggest export destination with 8.8 billion dollars export and Bangladesh export to India likewise crossed 1 billion dollar mark. The trade and investment relations between both nations are expanding and further there is a plethora of scope for speculation growth.
With the growing percentage of trade, India has been the oldest ally of Bangladesh. According to the Assocham President, B.K. Goenka, Total Bilateral trade between both the countries stands at US$10.46 billion in year 2018-19, rose by 28% as compared to previous year.
This has created the world of opportunities for the Indian business tycoons to invest and grow their ventures with the vision of gaining profit and vice-versa. Bangladesh has been developing its IT sector and emphasizing in encouraging the blue economy in order to raise employment graph.
Eyeing the garment export, Bangladesh officials mentioned that being one of the biggest exporters of garments, Bangladesh also holds the top market of cotton in the world. Welcoming the speculations from India, PM addressed that Bangladesh is one of the most capable growing market and trading here would uplift the business percentage and nation’s economy along with its employment.
Country has achieved the milestone of garment export with the exponential growth of 34 Billion Dollars in 2019. It is one of the world’s fastest growing economies with the third largest inland fish producer, fourth largest fish producer, fourth largest rice producer and eighth largest remittance earning country. According to PM Hasina, if these records continue, Bangladesh will be a developed nation by 2041.
According to Vikram Kirloskar, CII President, There is a requirement to boost energy sector in building roads, railways, ports and inland waterways and in using such connectivity for mutual benefit. This will directly raise the employment graph of both nations, will also reduce the logistics costs and enhance mobility in India as well as Bangladesh.
Aiming to extend digitalization, Kirloskar mentioned that improving digital trade will boost the ‘Digital India’ vision as well as benefit Bangladesh in dealing and spreading digital transaction in its country.
India’s investment in Bangladesh
India has expanded $8 billion in concessional financing to Bangladesh under three Lines of Credit. The activities secured under these Lines of Credit will help improve framework in Bangladesh in parts like ports, power, railways, roads and airports.
Sectors that have been growing with the trade between Bangladesh and India includes security and border management; trade and investment; connectivity; energy and power; space; development projects; culture; and greater people-to-people exchange.
Aiming to extend development in the Railway sector, Union Minister for Commerce Industry and Railways, Mr. Piyush Goyal said, India welcomes every request of PM Hasina towards developing Railways across both the nations. I would like to prioritize the seamless corridor to run between India and Bangladesh in order to create travel convenience for people and easy movement of goods.
He further added, “There is a remarkable chemistry between the two nations and its leaders and I would like to observe this engagement amongst the business entities of both nations. The improving engagement of the nations would help the countries to strengthen its ties and expand its trade aiming at growing economy.