The plant is expected to go into production by this year-end with 1,000 tractors.
During the talks between Zia and Prime Minister Manmohan Singh, which will be held in New Delhi on Tuesday, India is likely to seek Dhaka's cooperation in ending terrorism emanating from Bangladesh and illegal immigration.
Zia, elected for a second term in 2001, was making her first bilateral visit to India eight months before her tenure ends.
Khaleda Zia will arrive in New Delhi on March 20 on a three-day state visit, her first since assuming power five years ago.
The source could not say which country Zia will be visiting first. "We've conveyed our intention to both the governments of India and Pakistan, and the dates will be fixed on mutual convenience," he said.
India-based Apollo Hospitals on Wednesday opened its services in Bangladesh, becoming the first private multi-purpose facility in the country that would pave the way for better treatment of the people.
The Tata Group is looking for investments in Bangladesh's steel, power and fertiliser sectors worth $2billion, a media report said in Dhaka on Saturday.
Tata Group Chairman Ratan Tata arrived in Dhaka on Wednesday on a three-day visit during which he will hold discussions with the government about his $2 billion investment plans in Bangladesh.
The door is open for any diplomat to verify what the government insists, Bangladeshi officials said.
"The government has identified the masterminds of the two attacks, they will be exposed to justice," Home Minister Asaduzzaman Khan said.
Vishwa Hindu Parishad on Tuesday accused the Vajpayee government of failure to put pressure on the Khaleda Zia regime to save minority Hindus from 'growing torture' and threatened to organise a economic blockade of Bangladesh.
Shahadat-e-Al-Hikma claimed it has 10,000 commandos and 25,000 fighters working to bring an Islamic revolution.
Hasina, the president of the Awami League, won the 11th parliamentary elections with a landslide victory even as the Opposition rejected the "farcical" polls marred by violence that claimed 17 lives, making it one of the deadliest polls in the country's history.
Bangladesh Supreme Court on Wednesday upheld the death sentences handed down to two top opposition leaders convicted for war crimes committed during 1971 independence war against Pakistan, rejecting their final review petitions.
Bangladesh's Supreme Court on Wednesday upheld the death penalty for an influential opposition BNP leader Khaleda Zia for committing crimes against humanity.
Carlile was to hold a press conference in New Delhi on Thursday.
Seven top leaders of Bangladesh's main opposition party Bangladesh Nationalist Party were arrested today during raids, prompting it to extend a 48-hour nationwide strike by one more day, defying premier Sheikh Hasina's appeal to shun violence.
The death toll in violence across Bangladesh, following dispute over electoral system, rose to six even as the country braced for a 60-hour opposition strike on Sunday, calling for a neutral caretaker government to oversee the next general elections.
The death toll in violence across Bangladesh triggered by the execution of a top Jamaat-e-Islami leader has risen to 21, prompting Prime Minister Sheikh Hasina to issue a stern warning saying, "We know how to control you."
The ruling Awami League-led grand alliance has won 288 seats in the 300-member Parliament, Election Commission secretary Helaluddin Ahmed said.
'When we have a terrorist outfit in a neighbouring nation, we need to do whatever we can to neutralise that threat,' says Ramananda Sengupta.
A Bangladeshi court on Wednesday upheld the arrest warrants issued against former PM Khaleda Zia in two graft cases.
External Affairs Minister Sushma Swaraj on Friday met former Bangladesh President Hussain Ershad's wife and opposition Jatiya Party leader Roshan Ershad before leaving for Delhi at the end of her three-day visit to Dhaka.
Amid high drama, Bharatiya Janata Party vice president Mukhtar Abbas Naqvi was on Thursday arrested along with party leaders for defying prohibitory orders when they tried to enter trouble-torn Makra village in Birbhum district, made out of bounds for politicians by Trinamool government.
Describing Bangladesh as an 'exceptional neighbour', India on Friday said Modi's 'historic' visit there from Saturday will help the two countries.
Bangladesh's decision to execute Jamaat-e-Islami chief Motiur Rahman Nizami for war crimes committed in 1971 has provoked anger across the Muslim world. Foreign Secretary S Jaishankar arrived in Dhaka hours after the execution, an important expression of India's support to Prime Minister Sheikh Hasina, explains Rajeev Sharma.
Unable to visit the monument during his first visit to India, US President Barack Obama made enquiries about it with ASI guide. Kavita Chowdhury reports.
'There is a design of fundamentalists that the north east must become an Islamic country.'
Main opposition Bangladesh Nationalist Party chief Khaleda Zia on Monday rejected her arch-rival Prime Minister Sheikh Hasina's proposal for an all-party government to oversee Bangladesh's upcoming election and floated a formula for creating a neutral poll-time regime.
The Bangladesh government on Sunday claimed the attackers who slaughtered 20 hostages inside a cafe in Dhaka in the country's worst terror attack were members of "homegrown" Islamist terrorist outfits and not Islamic State of Syria and Iraq militants.
Much of Bangladesh was paralysed on Monday by the latest strike called by Jamaat-e-Islami, with two powerful explosions rocking Shahbag Square, the epicentre of a massive campaign demanding toughest punishment for leaders of the fundamentalist party for war crimes during the 1971 war.
'While Piyush Goel, Dharmendra Pradhan, Rajyavardhan Singh Rathore and a clutch of former bureaucrats including R K Singh, Hardeep Singh Puri and K J Alphons are loyal BJP members, none of them fit the mould of party apparatchiks.' 'In fact, many of the latter kind have been shown the door or have been given reduced charges.' 'That goes to show the prime minister's comfort level in dealing with professionals and administrators and the trust he reposes in them,' says Shreekant Sambrani.
Bangladesh on Monday banned an Islamist militant outfit that is believed to be behind the gruesome hacking deaths of three secular bloggers.
'If a bloodbath of this nature can occur in a high security area like Gulshan, I shudder to think how vulnerable other parts of this country are.'
A special Bangladeshi tribunal on Wednesday sentenced opposition Bangladesh Nationalist Party's 83-year-old leader Abdul Alim to jail until death for committing large-scale killings and other war crimes during the 1971 Liberation War against Pakistan.
'Pakistan is paying the price for ignoring secularism. In seeking to be ever more Muslim to define its nationhood, it has become a terrorist haven.'
By revising the India-Bangladesh land boundary agreement, the NDA is going for short-term gains and losing the long-term perspective, says Gautam Sen.
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