India may relax trade norms for Bangladesh
Ahead of Bangladesh PM's visit, India has indicated its readiness to facilitate easy access for goods from the neighbouring country.india Updated: Mar 20, 2006 16:05 IST
India on Monday indicated its readiness to facilitate easy access for goods from the neighbouring country, saying New Delhi is capable of absorbing exports from there.
"We need to take a broader view at our neighbourhood rather than look at it in terms of rupees and paise," Finance Minister P Chidambaram said at a CII function here.
Noting that India was a bigger economy, he said, "We must be able to absorb their (neighbouring countries) exports. What is the point in calling ourselves a regional economic power if we can't help our neighbours."
Bangladesh President Kahleda Zia will arrive here on a three-day visit to India.
"Bangladesh remains poor...What will happen is more people from Bangladesh will migrate to India. And that is what is happening," Chidambaram said.
Bangladesh has been seeking removal of tax barriers by India to allow its goods easy access in the country.
During Zia's visit, the two countries are likely to sign three economic pacts including double taxation avoidance agreement and investment protection agreement.
He pointed out that the neighbouring countries like Bangladesh, Sri Lanka and Nepal were "poorer and smaller and their only market is really the Indian market."