The Federation of Indian Chambers of Commerce and Industry will push for a free-trade agreement with Bangladesh during the two-day Dhaka visit by its 33-member delegation starting August 12.
Bangladesh has been resisting the free-trade agreement with India because of its high trade deficit with India. The deficit stood at $1,087.81 million in 2002-03.
The Ficci delegation, however, does not agree with Dhaka's arguments and maintains that Bangladesh has a lot to gain from the free-trade agreement.
"Bangladesh's apprehensions of getting swamped by Indian goods are unfounded. Sri Lanka, which has a free-trade agreement with India enjoys a trade surplus with India. We do not see why Bangladesh would not benefit from the free-trade agreement," Ficci sources said.
The delegation will make a case for signing a free-trade agreement at the fifth executive committee meeting of the Bangladesh-India Chamber of Commerce and Industry, scheduled on August 12.
BICCI was formed during Prime Minister Atal Bihari Vajpayee's visit to Bangladesh in 1999.
Presentations will be made by Indian companies like Cadbury India Ltd, Sun Pharmaceuticals Industries Ltd and the Indian Footwear Components Manufacturers Association during the visit.
Another important issue on the agenda is non-tariff barriers. "The non-tariff barriers imposed by the Bangladesh government have been hindering bilateral trade. We want to take up the issue with our counterparts," Ficci sources said.
Other issues likely to be taken up are Indian trucks not getting timely clearance, frequent strikes delaying business consignments and lack of adequate wagons for transportation.
The delegation will also raise the issue of the loss of three business days on account of holidays in the two countries. While Fridays and Saturdays are off-days in Bangladesh, Sunday is a holiday in India.
