Economics
TRANSIT: IMPACT ON BANGLADESH
Md. Anwar Hossen,
Department of Economics , Shahjalal University of Science and Technology, Sylhet, Bangladesh,Email: anwarbabu40@gmail.com
1. Introduction
A debate has been raging in the country on whether transit facilities should be given to India or not through the land territory of Bangladesh. Some argue that it should not be given unless some core bilateral issues with India are resolved, while some have advanced the view that transit is an economic issue for trade facilitation and should not be politicized. Some have argued that what India wants is not a transit but a corridor. Whichever view one holds, the fact of the matter is that transit issue is a complex one. It is a multi-faceted issue. Is transit an economic issue? Some argue transit is an economic issue. It facilitates trade and therefore it may be perceived as such. I would argue that this is conceivable but for most of the cases political relations define economic relations. In other words, political relations cannot be separated from economic relations. History is replete with examples of friendly political relations providing the climate and the incentive for forging closer economic relations. It has been seen that in most case progression has been from close political relations to the deepening of economic relations. For example, why does Bangladesh not have economic relations with Israel? It is because there is no political relationship with that country. Political relationships that are not characterized by mistrust or suspicion allow first steps in economic relationship which would then expand and generate vigorous inter-state economic activities. In that context, for creating an appropriate political climate, India has to come up with fair and just proposals to resolve some of the bilateral issues that affect Bangladesh people with “bread and butter issues”. The issues of top priority are (a) maritime boundary, (b) land boundary including the exchange of
Md. Anwar Hossen,
Department of Economics , Shahjalal University of Science and Technology, Sylhet, Bangladesh,Email: anwarbabu40@gmail.com
1. Introduction
A debate has been raging in the country on whether transit facilities should be given to India or not through the land territory of Bangladesh. Some argue that it should not be given unless some core bilateral issues with India are resolved, while some have advanced the view that transit is an economic issue for trade facilitation and should not be politicized. Some have argued that what India wants is not a transit but a corridor. Whichever view one holds, the fact of the matter is that transit issue is a complex one. It is a multi-faceted issue. Is transit an economic issue? Some argue transit is an economic issue. It facilitates trade and therefore it may be perceived as such. I would argue that this is conceivable but for most of the cases political relations define economic relations. In other words, political relations cannot be separated from economic relations. History is replete with examples of friendly political relations providing the climate and the incentive for forging closer economic relations. It has been seen that in most case progression has been from close political relations to the deepening of economic relations. For example, why does Bangladesh not have economic relations with Israel? It is because there is no political relationship with that country. Political relationships that are not characterized by mistrust or suspicion allow first steps in economic relationship which would then expand and generate vigorous inter-state economic activities. In that context, for creating an appropriate political climate, India has to come up with fair and just proposals to resolve some of the bilateral issues that affect Bangladesh people with “bread and butter issues”. The issues of top priority are (a) maritime boundary, (b) land boundary including the exchange of
References: Abul Bayas. 1999 “TRANSIT TRANSSHIPMENT BITORKO” (A Debate on Transit Transshipment edited by Mukul Sikder) . Barrister Harun ur Rashid.2007 “Transit Issue with India: A comprehensive approach”. Brig Gen. Shakil Ahmed, ndc, psc.2006“Transit and Transshipment: Implication for Bangladesh”. Dr. Amaz Uddin Ahmed.2004“UPA ANCHALIK JOT TRANSIT ISSUE O GAS ROFTATI PROSHONGE” (About Sub Regional Alliances: Transit Issue and Exporting Gas” edited by Dr.Tarek Shamsur Rehman). Dr. Diganta (January 2, 2006) “Consequences of Transit”. Dr. Ferdaus Ahmad Koreshi.2004 “UPA ANCHALIK JOT TRANSIT ISSUE O GAS ROFTATI PROSHONGE” (About Sub Regional Alliances: Transit Issue and Exporting Gas” edited by Dr.Tarek Shamsur Rehman). Dr. Kamruzzaman. 2010 “Transit security and sovereignty of Bangladesh” . Tarek Shamsur Rehman.2010 “BANGLADESHER PURBOMUKHI PORORASHTRO NITY-AKTI MULLAYAN” (Aforesaid Foreign Affairs of Bangladesh-An Assessment). “The Daily Naya Diganta” . January 19, 2010.