Md Alamgir :
Bangladesh Land port Authority (BLPA) came into being in 2001 with the enactment of ‘Bangladesh Land port Act, 2001 by the parliament. So, as an organization BLPA is only two decades old. Nonetheless within this short span of time, it has put its footprint strongly in the economic development of the country by facilitating trade, fostering connectivity, and stimulating growth. This is done by developing infrastructure, introducing technology and encouraging automaton for smooth movement of vehicles and passengers. This created a multiplier effect on the growth of trade in the region especially with India and other neighboring countries like Nepal and India. Over the years, growing volume of trade between Bangladesh and India bears testimony to this.
While it started its journey two decades ago, BLPA started its operation only with Benapole and Sonamosjid land ports, but with the passage of time more ports came under its wing. At present, BLPA has 24 declared land ports, of which 12 are in operation, 8 are being developed for operation and rest 4 (four) would be developed, based on the necessity.
Land ports of Bangladesh serve important roles by facilitating movement of goods and passengers to and from Bangladesh to India and other neighboring countries. Due to Bangladesh’s unique geographical position with India, land ports bring opportunities for cross-border trade with the latter and the other neighboring countries. Physical proximity has enabled neighboring countries to trade with Bangladesh in an affordable, convenient, and efficient way. Geographically, India surrounds Bangladesh on the North, North-eastern and Western side, and Myanmar on the South-Eastern side. Bangladesh- India land border is the 5th longest in the world, which brings opportunity for both the countries to set up Land Customs stations, ports and international passenger terminals for trade, movement of vehicles and passengers. This strategical position and physical proximity of Bangladesh and India make it easier for both the countries to undertake mutually beneficial programs and cooperate in border related trade.
It has been observed that Bangladesh’s land ports bring varying degree of benefits to the economy of Bangladesh. By supporting numerous economic activities in the bordering districts land ports helped to flourish small traders, tea stalls, saloon, garage, parking facilities and many more. As supplier of jobs, land ports support social functions too in terms of creation of clubs, associations, gathering points, mosques etc.
With the higher movement of goods and passengers year on year, Land ports of Bangladesh are preparing itself with more infrastructure, provisions, and associated services. It is now agreed upon by the policy makers and stakeholders that the growth and development of Land ports lead to greater trade activity, increased supply, job creation, and reduced prices for commodities. All over the world it is acknowledged that country’s GDP is significantly affected by the ability of companies to export their goods and services regionally and globally. So, effective transportation facilities inland ports have the potential to significantly increase economic growth and success of nations (Sleeper, 2012). It is against this backdrop, this paper would like to highlight that land ports in Bangladesh are important set up to boost total trade (export-import), to flourish uninterrupted regional connectivity and to support higher GDP for the country.
Bangladesh’s geographical location makes it an ideal country to establish connectivity with the south Asian nations. Its sea ports, land ports and air ports are located strategically to foster interregional connectivity and reap benefit from this connectivity. It is now admitted that national and regional connectivity in South Asia helps drive socio-economic growth by creating economic opportunities for member states and poorer areas. Evidence also shows that improved connectivity within country between lagging and prosperous regions can help promote the transformation of the lagging regions.
Bangladesh and India have a land boundary of 4096 KM, which is 5th longest in the world. This long border boundary created opportunity as well challenges for both the countries. In terms of opportunity, it paved the opportunity for Bangladesh and India to establish road and rail links to transport and transit goods between India and Bangladesh and other neighboring countries including Nepal and Bhutan. In the border area where vehicles and passengers pass through one country to another, land ports are built. These land ports in the border area make trade between Bangladesh, India, Nepal, and Bhutan much easier, less-costlier and predictable. Studies undertaken by WB and ADB show that there is ample opportunity for the adjoining countries to commence trade amongst themselves in a more efficient, seamless, and hassle-free way.
A recent World Bank report also confirms that 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. Same report highlights that transport connectivity between Bangladesh and India could increase exports even further, yielding a 297 percent increase in Bangladesh’s exports to India and a 172 per cent increase in India’s exports to Bangladesh. Another study conducted by ADB estimates that improvement of priority regional transport corridors in Bangladesh could facilitate movement of about 18 million tons of freight in Bhutan, India, and Nepal.
In fact, Bangladesh has the potential to become a major transport and transshipment hubin the subregion. Keeping this in mind Bangladesh, Bhutan, Indian and Nepal (BBIN) has signed the Motor Vehicle Agreement (MVA) to facilitate cargo and passenger movement in the BBIN subregion. But due to lukewarm support and many bottlenecks from other stakeholders, the agreement is yet to see the light of the day.
To strengthen interregional connectivity Bangladesh Land port has undertaken a good no of projects with the support of the World Bank, Asian Development Bank and at its own financing. The most notable among them are ADB supported South Asia Sub-Regional Economic Cooperation (SASEC) project. This ADB-supported SASEC Program aims to boost intra-regional trade in the SASEC sub-region by improving cross-border connectivity, by facilitating structures and system development in the regional and national SASEC transport projects. Under this project BLPA is going to develop two important Land ports of Bangladesh i.e. Tamabil and Akhaura. The Indian ICP against these two land ports are Dawki and Agartala. Once facilities are developed, these two land ports will contribute immensely to the connectivity between people and business communities of the two countries, ensure seamless movement of cargo and passengers and help flourish the hinterland economy of both the countries. This project has been approved recently at the ECNEC meeting presided over by the Prime Minister of Bangladesh.
Under the WB Bangladesh Regional Connectivity Project (Phase-1) (BRCP) BLPA has selected three land ports namely Ramgarh, Sheola and Benapole for refurbishing and developing new infrastructures, streamlining border management, securing borders and ports, and harmonizing system with the Indian ICPs. But as ill luck would have it, Bangladesh Land port authority is yet to get clearance from Indian border security force to start the work there.
Another flagship project, named Bangladesh Regional Trade Facilitation Project (BRTFP), also supported by WB, is about to be approved very soon by ECNEC. This milestone project will have immense impact on the performance of BLPA especially in the creation of infrastructure, delivering services, easing cross border movement through automation and use of modern technology in the four land ports namely Bhomra, Burimari, Benapole and Bholaganj.
(The writer is Chairman of Bangladesh Land port Authority).
