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Bangladesh-India Economic Relations: A Study on Cross-Border Trade

Corresponding Author : Dr. Fahmida Aktar (fahmida-pss@sust.edu)

Authors : Mst. Tahmina Akter (tahmina-pss@sust.edu)

Keywords : Economic relations, border, cross-border trade, Bangladesh, India

Abstract :

The present study attempts to examine the bilateral economic relationship between Bangladesh and India, focusing on the contemporary cross-border trade dynamics across Bangladesh-India border. The central question of this research is: Do cross-border formal trade initiatives strengthen Bangladesh-India bilateral trade relationship? On the basis of both primary and secondary data, this paper investigates the answer of this query, addressing major problems and challenges regarding the proper functioning of cross- border formal trade initiatives between Bangladesh and India. This research also offers some suggestions and worthy infusions on inter- state trade integration across the Bangladesh-India borderlands. The central argument of the study is that, the cross-border trade flow between Bangladesh and India is hindered by the improper functioning of formal trading due to several factors e. g., tariff and non-tariff barriers, informal trade, weak border governance, weak infrastructure, unnecessary legal restrictions, and local power dynamics. Using a case study approach, this study explores the problems and issues in borders that are impacting on Bangladesh- India cross-border economic relations including trade and investment. For this, in-depth interviews and FDGs (Focus Group Discussions) have also been conducted in the research areas.

Published on September 24th, 2023 in Vol. 34, No. 1, Social Sciences