India, Bangladesh ink pact to enhance bilateral trade

India and Bangladesh signed the Standard Operating Procedure (SOP) for operationalising the 'Agreement on Coastal Shipping' ,signed in june this year.
Advantages of  the Agreement:
1) The opening of coastal shipping between India and Bangladesh would enable the movement of cargo to the North East through coastal shipping pto Chittagong and thereafter by road/inland waterways.
2) The deep draft ports on the eastern coast of India can be ‘hub ports’ for the onward transportation of cargo to Bangladesh via the coastal mode through RSV category of vessels.
3) The Indian ports will attract enhanced cargo and also the overall transportation cost to Bangladesh will get reduced.
4) The Indian ports serving as trans- shipment ports for Bangladesh cargo will derive benefits by way of enhanced throughput as a result of Indo-Bangladesh coastal trade.