Business leaders oppose waiver on transshipment fees to India

Business leaders yesterday strongly opposed India's demand for a waiver on transit and transshipment fees on goods containers, as it is a major source of income for Bangladesh.
India has been demanding this waiver even though the foreign ministry has continually opposed it, saying the Indian private sector already received large subsidies for transporting goods to the northeastern hinterlands.
The ministry sent its message to officials of the Indian High Commission in Dhaka on Monday and advised them to discuss the matter with the National Board of Revenue (NBR).
The NBR has imposed a transit and transshipment fee of Tk 10,000 per container and Tk 1,000 per tonne for bulk cargo. Bangladesh has an opportunity to earn an estimated Tk 1-2 billion as transit and transshipment fees.
AK Azad, president of Federation of Bangladesh Chambers of Commerce and Industry (FBCCI), said Bangladesh can in no way afford to lose the transit and transshipment fees from the Indian goods containers because these are a major source of income.
"India must pay the fees if it [India] uses the land of Bangladesh for transit and transshipment. It is a major source of income for us," Azad said.
He said Bangladesh will also have to pay India for using its land to carry goods to Nepal and Bhutan.
"We can pay India the fees for transporting goods to Nepal and Bhutan from the earnings from the transit and transshipment fees from India," Azad added.
"We should definitely not waive the fees. We should charge a fair fee for transit and transshipment on the containers laden with Indian goods," said Anis Ud Dowla, president of Metropolitan Chamber of Commerce and Industry.
"There should not have any free lunch. We are ready to pay the fees to India for transit and transshipment in case of transporting goods to Nepal and Bhutan through Indian land," he said. India will use Bangladesh's infrastructure that has a cost, and they have to pay the fee, he said.
Abul Kasem Khan, president of Dhaka Chamber of Commerce and Industry, also agreed. He said the fees should not be waived, as they will use the country's infrastructure.
"Nothing should be given free, but both the governments can re-calculate the fees," he said.
Shipping Minister Shajahan Khan declined to comment on the issue.
The issue over waiving the fee came to a focus at a time when the customs authority blocked the entry of two Indian ships carrying fly ash at the Bangladeshi border at Shekbaria, as they did not pay the transshipment fee. The ships, destined for Assam, were not allowed to enter Bangladesh.

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