Trade should take precedence over BD-India diplomatic ties

Trading is a powerful transactional tool among nations. There are historical evidences of countries continuing trading activities between them even when they are at war. During both the World Wars, for instance, Britain imported crucial chemical dyes from Germany. Even when they were engaged in military conflicts in 1948-49 and 1965, trading did not stop between India and Pakistan. However, exceptional cases may arise when governments use trade stoppage as a political tool to pressure other countries to change their policies. Examples include the trade sanctions US and the EU applied against Iran, Russia, China, etc, and the recent tariff war initiated by the Trump administration of the USA.  However, Bangladesh does not believe in using trade as a tool for political retaliation and had neither used any such punitive measures against its next-door neighbour India, the finance adviser of the interim government told the press recently. 

Given the backgrounds, it is gratifying to note that Bangladesh-India trade relations have not been prejudiced by certain diplomatic tensions born of political developments and concomitant hot partisan rhetoric arising in either country in recent times.  It is against this backdrop it could be learnt that the government has decided to import 50,000 tonnes of non-basmati parboiled rice worth Tk2.18 billion from India through the international open trade method. The government's decision also includes import of equal amount of atap or white rice from Pakistan under government-to-government negotiations. The directorate-general of food would implement the procurements to ensure timely arrival of consignments. The advisers' council committee on government purchase also approved proposals to import large consignments of edible oils from international sources, expectedly for their onward distribution for subsidised sale by the government-owned trading body, the Trading Corporation of Bangladesh (TCB). Notably, on the occasion of the press event, the finance adviser drew a clear distinction between political discourse and economic decision-making. So, emphasising pragmatism over rhetoric, he was all for maintaining Bangladesh-India regional connectivity and keeping economic engagement steady and functional. As things stand, India continues to remain a major trading partner of Bangladesh, especially regarding essential commodities, health services and so on. Here it is the logic of market rather than that of politics that guides decisions regarding imports. So, it would make economic sense in case rice is imported from India if it is cheaper there than other neighbouring rice producing nations, for instance, Vietnam. Importing rice from alternative sources could cost an added amount of Tk10 per kilogram. 

The observations from the finance adviser came as the government had made the decisions on procuring foodgrains, edible oils and other essentials from home and abroad ahead of the holy month of Ramadan to maintain adequate supply of essential commodities in the market. Similarly, fertilisers are also going to be imported with an eye to the upcoming farming season.

Evidently, not only as a matter of principle, but also for a low-income economy aspiring to graduate to a middle-income one, Bangladesh can ill-afford to engage in fruitless diplomatic hassles over  non-issues  with  any country, far less with its next-door neighbour like India with whom it (Bangladesh) has nearly 4100-km border. It would also be important to ensure that the diplomatic relations with close neighbours or with other nations at the international level are maintained on the basis of mutual respect and non-interference in each other's internal affairs. So, it is expected that Bangladesh-India relations would continue on an even keel, especially in the sphere of trade and commerce.