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Lack of political will retards trade in S Asia

French Forum 2003 discussion observes

STAR BUSINESS REPORT
Lack of political will and positive mindsets of the governments is one of the main hindrances to expanding intra-regional trade among South Asian nations, speakers at a discussion in Dhaka observed yesterday.
They suggested removal of political conflicts as well as nontariff and para-tariff barriers for increasing the intra-regional trade.
The discussion on 'Bangladesh Trade with Neighbouring Countries' was arranged as part of French Forum 2003 that began at Dhaka Sheraton Hotel yesterday. France Bangladesh Chamber of Commerce and Industry (CCIFB) organised the event.
Citing the example of Asean (Association for Southeast Asian Nations) that achieved tremendous success in boosting trade in the Southeast Asia the discussants said Saarc has failed to be an effective forum to promote regional trade.
Former State Minister for Foreign Affairs Abul Hasan Chowdhury said there are political conflicts among the Asean countries but the confrontation does not create any negative effect on their mutual trade relations.
Singapore and Malaysia have political conflict between themselves similar to India-Pakistan's but that does not hinder their trade relations, he said.
Chowdhury said though Bangladesh removed all types of para-tariff and non-tariff barriers much before its neighbours, the country failed to gain from it.
Presenting keynote paper, M Fouzul Kabir Khan, executive director and CEO of Infrastructural Development Company Ltd suggested increasing the share of South Asian countries in the global trade.
He mentioned that the share of Saarc countries in global trade is only 3.4 per cent while it is 37 per cent for the Asean countries.
India is dominating intra-Saarc
trade holding 72 per cent of the total trade while every other member countries has bellow 10 per cent share, Khan said showing trade disparity among the South Asian nations. Bangladesh's share is only three percent.
Commerce Secretary Suhel Ahmed pointed out that lack of political will of the governments is hindering regional trade.
Ahmed identified presence of non-tariff barriers as a major problem in the expansion of trade between Bangladesh and India.
Waqar Ahmad Shah, commercial secretary of Pakistan High Commission in Dhaka stressed the need for removal of the trade barriers and creating a level playing ground for Pakistani exporters in Bangladesh.
Yug Nath Paudel, deputy chief of mission of Nepal Embassy in Dhaka, said establishing air-link between Saidpur of Bangladesh and Viratnagar of Nepal would help increase trade between two countries.