Country won't get any revenue from 'Transit'

[CaPtAiN_pLaNeT]

Country won't get any revenue from 'Transit'

Country won't get any revenue from 'Transit'

DU Correspondent

The country will not get any revenue from 'Transit' as the earnings will not be enough even to cover a fraction of maintenance cost of the infrastructure alone, said renowned economists in the capital Sunday.

"The net revenue earning from the transit is likely to be US$ 15-30.0 million per year while the maintenance cost of these routes will be $ 7.10 billion", said Professor MA Taslim of Economics Department of Dhaka University (DU).

The professor quoted the figure from an unpublished report prepared by a core committee formed by the government regarding transit and headed by Chairman of Bangladesh Tariff Commission (BTC).

Prof Taslim was presenting a keynote paper at a seminar titled "Transit and Connectivity" organised by Centre for Development Research (CDR) at RC Majumdar Auditorium of the university.

The economist also quoted government sources and economists' remarks that the country will earn US$ 1 billion per year as transit fees. He added that when it became clear to the people that financial calculation is not in favour of the country, the government took shelter of deception technically saying that 'Transit' is essentially a political issue; so economic cost is not a matter.

Add: At his presentation the report said that government is offering it neighbour 'corridor' under the conceptual term of 'transit' through such facilities happen among there separate nation only.

"Movement of goods from and ending in the same country cannot be called 'Transit' even though it might have required travelling through the territory of another country," the expert said.

Prof Taslim further said that country's business sector will face a crisis if the so called transit is granted. "Trade deficit will go further high with our neighbouring country if transit facilities are offered without considering the issues".

Prof Dr Asif Nazrul, Department of Law of DU criticised the remark of the economic advisor to Prime Minister that "it would be 'uncivilised' to ask India to pay for transit facilities through Bangladesh."

The legal expert said that under the international law, Bangladesh is not obliged to provide transit facilities to India. However, he added that it is a matter of negotiation between two friendly nations. So, the issue should be settled based on mutual interests.

 

[third eye]

One thought it was difficult to work with / in West Bengal

East Bengal ( EP now BD)is just as bad.

A classic case of ' too much analysis leads to paralysis'.

Argue away.

 

[BanglaBhoot]

One thought it was difficult to work with / in West Bengal

East Bengal ( EP now BD)is just as bad.

A classic case of ' too much analysis leads to paralysis'.

Argue away.

West Bengal is part of India.

'East Bengal' - which century do you live in?

Bangladesh is an independent country and will determine for itself what is in its interests or not.

 

[Roybot]

Country won't get any revenue from 'Transit'

Country won't get any revenue from 'Transit'

DU Correspondent

The country will not get any revenue from 'Transit' as the earnings will not be enough even to cover a fraction of maintenance cost of the infrastructure alone, said renowned economists in the capital Sunday.

"The net revenue earning from the transit is likely to be US$ 15-30.0 million per year while the maintenance cost of these routes will be $ 7.10 billion", said Professor MA Taslim of Economics Department of Dhaka University (DU).

First it was $ 7 Billion for infrastructure development and now they want $ 7.10 Billion for maintenance every year!

And this guy is a professor of economics at Bangladesh's top university

For perspective, Bangladesh's annual road and railway budget allocation (which includes both development and maintenance) is about 750 Million USD. So this Bangladeshi professor wants ten times that amount from India just for maintenance of the route that will be used for transit!

Good one

http://www.mof.gov.bd/en/budget/10_11/cdg/en/detail/50_Communication.pdf?phpMyAdmin=GqNisTr562C5oxdV,EruqlWwoM5

 

[third eye]

West Bengal is part of India.

'East Bengal' - which century do you live in?

Bangladesh is an independent country and will determine for itself what is in its interests or not.

... and so the arguments begin.

It does not matter which century one lives in. The urge to argue remains ..

 

[Kaniska]

Come on guys enjoy the fun of argument...but on a serious note...when BD is cancelling the transit treaty????

 

[monitor]

Actually the title is confusing its should tell transit is not beneficial to Bangladesh . from the very beginning concern people and the opposition were talking against the transit and now the cat is out from the bag . some of ''expert'' were shouting we are going to become the Singapore and then another great expert gave his ''knowledge'' it would be 'uncivilised' to ask India to pay for transit facilities through Bangladesh." some dalal leader are just making fun with the interest of country

 

[CaPtAiN_pLaNeT]

First it was $ 7 Billion for infrastructure development and now they want $ 7.10 Billion for maintenance every year

From where you found in the article that 7.1 billion usd as the maintanance fees each year??? Do not try to put your own interpretation in each year. It just waste our time, the time that we need to devote to bust your and other bhartis silly argument.

 

[Roybot]

From where you found in the article that 7.1 billion usd as the maintanance fees each year??? Do not try to put your own interpretation in each year. It just waste our time, the time that we need to devote to bust your and other bhartis silly argument.

Don't blame me, blame your little newspaper whose wordings are ambiguous.

They should mention 7.1 Billion period over what period of time, and not term it maintanence, because it involves construction of new infrastructure.

Either case 7.1 Billion USD is a big amount. I hope Bangledesh sticks with this demand.

 

[Avishek]

I think mods should make a sticky about the transit it is getting too much daily 10 new threads about the same thing

 

[LaBong]

I think mods should make a sticky about the transit it is getting too much daily 10 new threads about the same thing

It's the single most exciting thing happened in bangladesh since the last liberation war! Poor people don't even get to see latest hollywood movies!

 

[SpArK]

It's the single most exciting thing happened in bangladesh since the last liberation war! Poor people don't even get to see latest hollywood movies!

Isnt the transit thread that was hot topic yesterday in BD defence?

 

[Vibs]

"Movement of goods from and ending in the same country cannot be called 'Transit' even though it might have required travelling through the territory of another country," the expert said.

Prof Taslim further said that country's business sector will face a crisis if the so called transit is granted. "Trade deficit will go further high with our neighbouring country if transit facilities are offered without considering the issues".

Before delving into other arguments I think someone should email this guy the definition of transit trade as recognized in international business.
Transit Trade Definition
Expression 1. (Com.), the business conected with the passage of goods through a country to their destination

There is no specification of where the origin and destination lie. But they have to be a country/countries outside the country of transit.

And am I to believe that the roads will be used exclusively by Indian truck drivers only? Will Bangladeshi goods carriers, which would outnumber the Indian vehicles, not ply on the route at all? Has the revenue gained from them and the percieved gain caused by improvement of infrastructure and domestic trade connectivity calculated at all?
This guy should be given a copy of the NAFTA agreement of Schengen agreement and a copy of their financial records to understand how these things work.

 

[idune]

As more people waking up to indo awami hoax on transit benefit, indians can not take it anymore.
Simple thing should be done is STOP transit. Bangladesh has enough problem to address and dont have to take more for india, period. India can go back and concentrate on addressing their problem on their own without involving Bangladesh.