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Saturday, July 24, 1999

Cross-border trade with south-east Asia likely 

Syed Zarir Hussain  
Guwahati, July 23: India may soon begin trans-border trade with south-east Asia through the country's northeast in an attempt to boost this region's sagging economy. The commerce ministry has given the nod to an action plan for the promotion of exports from the northeast submitted by the Assam government.

"Expansion of international trade would bring about an economic revolution in the northeastern states and the region could well become the gateway to leading business centres of Southeast Asia," Assam Chief Minister Prafulla Kumar Mahanta told IANS. The Assam government proposal submitted to the Commerce Ministry said the authorities have already identified key routes for business with countries like Bhutan, Bangladesh, Myanmar and China, besides parts of Southeast Asia.

"The response from the commerce ministry was positive and we hope New Delhi will grant necessary financial support to build up the infrastructure and complete formalities with the neighbouring countries for opening up ofbusiness," Mahanta said. Daily free border trading takes place at present at Moreh in Manipur following the signing of a trade agreement between India and Myanmar in 1995.

Automobile spare parts, fruit and vegetables, foodgrains, textiles and cotton yarn are in great demand in almost all the neighbouring countries. Indian traders are generally interested in foreign goods like electronic gadgets, synthetic blankets, teak, gold and ruby.

"We want the northeast market to be opened to traders from Southeast Asia rather than only focussing on the traditional non- lucrative business that the region has with the rest of the country," Assam industry minister Gunin Hazarika said.

A number of South Asian trade and commerce bodies have also advocated the opening up of border trade with India's northeast saying such business would benefit those countries as well. "We want border trade with India to be resumed as soon as possible as Bangladesh has been severely affected owing to the closure of border trade," saidAbdul Awal Minto, president of the Federation of Bangladesh Chambers of Commerce and Industry, the country's apex trading body. He was on a trade promotion visit to the northeastern states recently.

Border trade between India and Bangladesh was stopped after Partition in 1947. "Already there are roads linking Bangladesh to Assam and Meghalaya. Besides we have the famous World War II Stilwell Road linking the northeast with China, via Myanmar. All we need to do is to build up the requisite infrastructure and improve the roads and in no time we can resume border trade very effectively," said Assam Transport Minister Pradeep Hazarika.

The surface transport ministry has already declared two vital roads -- the Jowai-Tamabil road and the Baghamara-Dalu-Gashuapara road -- as national highways with a view to opening up of formal border trade with Bangladesh.

Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.


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