An Indian parliamentary committee has called for a diplomatic reset with Bangladesh, urging deeper engagement with Prime Minister Tarique Rahman’s administration while addressing concerns over China’s growing footprint.

The Committee on External Affairs, chaired by Shashi Tharoor, presented its 15th Action Taken Report to the Lok Sabha on Jul 30, recommending a “robust engagement” with Dhaka after the return of an elected government.
The panel welcomed India’s high-level representation at the swearing-in ceremony of the new administration, saying the political transition offered an opportunity to build a stable and mutually beneficial partnership rooted in the shared legacy of 1971.
A major focus of the report was Bangladesh’s growing economic alignment with China.
The committee flagged Beijing’s expanding presence in Bangladesh, including a $370 million expansion project at Mongla Port, and warned of possible trade distortions for India if Chinese goods enter its market through Bangladesh.
The panel expressed particular concern over Bangladesh’s potential accession to the Regional Comprehensive Economic Partnership (RCEP), which could create a free trade framework between Dhaka and Beijing.
It warned that Chinese fabrics and manufactured goods could potentially reach Indian markets through transshipment or value-addition loopholes under SAFTA rules.
The committee recommended stricter rules-of-origin checks to protect Indian industries.
The concerns come amid deeper Dhaka-Beijing engagement. During Tarique’s recent visit to China, Chinese Premier Li Qiang and President Xi Jinping backed Bangladesh’s application to join RCEP.
During the visit, Bangladesh and China signed 13 memoranda of understanding covering trade expansion, a dedicated Chinese Economic Zone in Chattogram, Mongla Port modernisation and possible cooperation on Teesta River projects.
The Indian panel also highlighted the urgency of renewing the 1996 Ganges Water Treaty before it expires in December 2026.
It urged New Delhi to complete its internal assessment, including reviews of hydrological data, climate projections and consultations with West Bengal and Bihar, so formal negotiations with Bangladesh can begin without delay.
The report reviewed India’s development cooperation with Bangladesh as well. Twelve pre-execution Line of Credit projects were removed after joint reviews, while eight ongoing connectivity projects involving railways, power transmission and road expansion were prioritised for completion within a fixed timeline.
On security, the committee recommended completing unfenced sections of the India-Bangladesh border and using smart technologies alongside regular coordination between the Border Security Force (BSF) and Border Guard Bangladesh (BGB).
The report said a stable, democratic and inclusive Bangladesh was vital for regional security and recommended restarting structured parliamentary exchanges and expanding educational and skill-development programmes between the two countries.



