Maitri Setu: A crucial India-Bangladesh trade corridor

Regional trade is below its potential in South Asia_ but leaders of India and Bangladesh are building upon strong bilateral ties for economic growth and prosperity. Maitri Setu_ or Friendship Bridge_ built over the Feni River is a crucial corridor that will facilitate this.

On March 9_ Indian Prime Minister Narendra Modi and his Bangladesh counterpart Sheikh Hasina virtually inaugurated the 1.9-km bridge_ which connects the Indian state of Tripura with Bangladesh. The bridge_ built over the Feni River that flows between Tripura and Bangladesh_ connects Sabroom in India with Ramgarh in Bangladesh.

During an online event for the inauguration of the bridge_ PM Sheikh Hasina recalled India's role in Bangladesh's Liberation War. "Fifty years ago_ in 1971_ India opened up its border for Bangladesh's people to support their freedom struggle. Today_ we are building a prosperous region together_" she said.

"The Feni Bridge would improve the connectivity to south Assam_ Mizoram_ Manipur and Tripura with Bangladesh and south-east Asia_" Modi said_ adding that the bridge would give an impetus to the economic opportunities in Bangladesh as well.

Seamless transport connectivity between India and Bangladesh has the potential to increase national income by as much as 17 per cent in Bangladesh and 8 per cent in India_ the World Bank said in a report titled 'Connecting to Thrive: Challenges and Opportunities of Transport Integration in Eastern South Asia'.

The global lending institution said that if both the countries sign a Free Trade Agreement_ then India s exports to Bangladesh can shoot up by 126 per cent and improve the latter s exports by a whopping 182 per cent.

Today_ bilateral trade accounts for only about 10 per cent of Bangladesh s overall trade and a mere 1 per cent of India s trade.

Modi said the bridge will give an impetus to the economic opportunity in Bangladesh_ besides the northeastern region_ and thanked Dhaka for the cooperation in the completion of the project.

Modi said the connectivity is not only strengthening the friendship between India and Bangladesh but also proving to be a strong link of business.

He thanked the Bangladesh government and Prime Minister Sheikh Hasina for the cooperation in the completion of the bridge project.
 
"The bridge is poised to herald a new chapter for trade and people to people movement between India and Bangladesh. With this inauguration_ Tripura is set to become the 'Gateway of North East' with access to Chittagong Port of Bangladesh_ which is just 80 km from Sabroom_" the Prime Minister's Office said in the statement.

According to the World Bank s India head Junaid Ahmad_ "With the eastern sub-region poised to become an 'economic growth pole' for South Asia_ it is important for countries to invest in connectivity to achieve this potential."