Ministry plans Rs 90-cr revamp for Petrapole

To facilitate greater Indo-Bangla trade; Centre to carry out similar works in other border areas

The Union Ministry of Commerce intends to spend Rs 90 crore towards improving the infrastructure in the Petrapole area in North 24 Parganas district of West Bengal to facilitate greater trade between India and Bangladesh, said Union Minister of State for Commerce Jairam Ramesh during his recent visit to the city.

The project to develop the area on the Indo-Bangla border would be completed in the next 15 months. The Central Government also intends to carry out similar works in the other border areas of the country—including Rucksole (Indo-Nepal border) in West Bengal and the area around Wagah border between Indian and Pakistan—to enhance trade with neighbouring countries.

“Petrapole is the focal point in the Indo-Bangla trade route,” observed Ramesh. The Minister of State said that other areas on the Indo-Bangla border in West Bengal like Hilli and Phoolbari would also be taken up for development.

Commenting on the trade ties between India and Bangladesh, Ramesh said he was confident that the ban, which is in place with respect to the entry of Bangladeshi FDI in India owing to security reasons, would be lifted in the next couple of months. “A lot of Bangladeshi companies are interested in investing in India,” Ramesh said.

Referring to the recently imposed ban on the export of Hilsa from Bangladesh to India, Ramesh said that the step had been taken by the Government of Bangladesh to check domestic prices of the commodity. He said during talks with Bangladeshi officials, he was assured that the Government of Bangladesh would take stock of the demand and supply situation in the country and would come to a decision.

Ramesh said that the trade deficit between the two countries was a cause of concern with India’s exports to Bangladesh in 2006-07 amounting to US $ 1.7 billion, while Bangladesh’s exports to India in the same period was worth only US $ 250 million.

“There are 43 Indian companies in Bangladesh at present and many others have expressed their interest in investing there,” observed Ramesh. Referring to the US $ 3 billion investment plan by the Tatas in the steel, power, fertilizer and coal sector, which has been pending with the Government of Bangladesh for quite some time, Ramesh said that if the Government of that country showed positive attitude towards the proposed investments, there was a possibility of India importing US $ 1 billion worth of steel and fertilizer from Bangladesh, apart from what India was importing at present.