To advance a new bilateral economic partnership, a greater and vital role of India in Mongla sea port, new sea route extending to the Indo-Pacific to expand the Indian governments "Sagar" project to the Indian Ocean region, security situation in Myanmar border and Indian interest in investing in the Teesta River water basin development project will dominate the tete-a-tete between Prime Minister Sheikh Hasina with Indian Prime Minister Narendra Modi at the Hyderabad House, in New Delhi on June 22.
Prime Minister Sheikh Hasina will leave Dhaka for Delhi tomorrow (on 21 June) on a two-day state visit at the invitation of her Indian counterpart Narendra Modi. Modi-Hasina summit has been scheduled for 22 June followed by delegation- level talks; however, signing of any new loan agreement is unlikely during Hasinas visit, although an announcement to this effect may come in a joint communique, official sources said.
Sources said that the sharing of Teesta water deal is not on the agenda of the two leaders meeting; however, Prime Minister Sheikh Hasina is likely to raise the issue during the official bi-lateral meeting, a senior official has said.
"Bangladesh will discuss the Comprehensive Economic Partnership Agreement (CEPA), guarantee of a quota for the import of seven food items, and energy, establishing integrated power grid line and line of credit",an official said.
Earlier in December, Bangladesh had sought a secured supply of 45 lakh tonnes of wheat, 7 lakh tonnes of onion, 30,000 tonnes of lentil, 20 lakh tonnes of rice, 15 lakh tonnes of sugar, 10,000 tonnes of garlic and 1.25 lakh tonnes of ginger every year.
To keep the water flow of Teesta River at normal level, China offered Bangladesh a $US 1billion Teesta River water basin development project, however, Bangladesh has kept on mum this considering the growing concerns of India.
"India was keen to have PM Hasina before her proposed China visit. And the Bangladesh leader also does not want to annoy the most trusted neighbour India," Indian senior journalist Guatam Lahiri told the Indian FinancialExpress.com.
"China was keen to fund the Teesta basin development project which may annoy India. Dhaka has also put on hold the China project. Indian Foreign Secretary Vinay Kwatra, when visiting Dhaka last month, agreed in principle to participate in Teesta river basin management," Guatam Lahiri added.
Recently, India has become interested in Mongla Port because of several Chinese projects underway surrounding the port. Indian media report that India wants to build a terminal at the Mongla port to create the opportunity to conduct their activities at the port like they currently enjoy at Chabahar Port in Iran and Sittwe Port in Myanmar.
The Bangladeshi side has been keen on Hasina visiting India before a proposed trip to China in July as part of the delicate balancing of Dhakas relations with the two South Asian giants, people familiar with the matter said.
This will be the first bilateral visit by any head of government to India after the the Bharatiya Janata Party (BJP) formed its government for the third consecutive time.
The visit by Hasina reflect both the strength of bilateral ties and the importance attached to Bangladesh under Indias "Neighbourhood First" policy.
However, this will be Hasinas first stand-alone bilateral visit to India since she began her fifth term following Bangladeshs general election in January.
A senior official of the foreign ministry said that Prime Minister Sheikh Hasina may visit Beijing on July 8 and she will hold a bilateral meeting with Chinese premier Li Qiang and meet Chinese President Xi Jinping.
Bangladeshs first defence exercise with China was scheduled to take place in May. The Chinese defence ministry made an official announcement in April, but various sources said the joint exercise did not take place because of Bangladesh.
Keeping the security situation in Myanmar border, India wants speedy implementation of US$ 500 million Line of Credit (LOC) on defence."
India may offer Bangladesh fresh loans under a new framework, as implementation of the projects under the existing loan programme is proving difficult due to some strict loan conditions.
Foreign Ministry sources said preparation is underway on both sides regarding the agenda of the visit. Several agreements and memorandums of understanding (MoU) are likely to be signed between the two countries during this visit which includes Telecom and postal issues.
Besides a review of the overall bilateral relationship and various initiatives by the two sides to boost road, rail and energy connectivity, a number of crucial issues are expected to figure in the meeting between Modi and Hasina.
These issues include the renewal of the Ganges Water Sharing Treaty, which was signed in December 1996 and is valid for 30 years, Bangladeshs plans to dredge and develop its section of the cross-border Teesta River, and Dhakas request for assured supplies of food items such as onions, ginger, rice and wheat, the people said.
The proposed CEPA between Bangladesh and India has three dimensions: trade in goods, trade in services and investment.
The main target of the proposed CEPA is to reduce the huge trade gap between Bangladesh and India and open up new economic opportunities including connectivity, more boarder haats, new markets and cooperation and partnership.
"Bangladesh and India may discuss the progress of the implementation of different infrastructure projects under the three Indian lines of credit (LoCs)," official said.
India has extended a total of $7.5 billion across three LoCs since 2010 for 46 projects. As of June, only $1.5 billion has been disbursed.
Prime Minitser Sheikh Hasina will seek easier terms and conditions for LoCs, which come with stringent terms such as employment of Indian contractors, and 65-75 percent raw material procurement from India.
Subsequently, many of the projects from the first LoC are yet to take off or were scrapped entirely.
A flight from Biman Bangladesh Airlines carrying Prime Minister Sheikh Hasina and her entourage will depart Hazrat Shahjalal International Airport on Friday at about 2 pm, according to the sources in the Foreign Ministry.
The flight will land at Palam Airport, New Delhi at about 4 pm (Delhi time) where high-level dignitaries of India and Bangladesh High Commissioner to India Md Mustafizur Rahman will welcome her.
In the evening, Minister of External Affairs of India Dr S Jaishankar will call on her at the Meeting Room of her Place of Residence, Hotel Taj Palace.
On Saturday morning, the red carpet will be rolled out at Rashtrapati Bhavan to receive Prime Minister Sheikh Hasina by her Indian counterpart through a ceremonial reception where the National Anthems of Bangladesh and India will be played. She will also inspect the Guard of Honour.
After that, she will go to Raj Ghat to pay tribute to the Indias Father of the Nation Mahatma Gandhi by placing a wreath at his Samadhi. She will also sign the visitors book there.
Sheikh Hasina will go to Hyderabad House to hold a tete-a-tete with Prime Minister Narendra Modi followed by delegation- level talks.
Both will witness the signing ceremony of the MoU and agreements.
After that, both the Prime Ministers will give their press statements. Then they will attend a Banquet Luncheon hosted by the Prime Minister of India in honour of the Prime Minister of Bangladesh at Hyderabad House.
Then they will attend a Banquet Luncheon hosted by the Prime Minister of India in honour of the Prime Minister of Bangladesh at Hyderabad House.
In the afternoon, Prime Minister Sheikh Hasina will call on the Vice President of India Jagdeep Dhankhar at his Secretariat.
In the evening Sheikh Hasina will call on the President of India Droupadi Murmu at Rashtrapati Bhavan.
At 6 pm (Delhi time), the Prime Minister will depart from Palam Airport, New Delhi by a flight of Biman Bangladesh Airlines and will land in Dhaka at about 9 pm.
This time, Sheikh Hasina will be brief as she will attend the programmes of the 75th founding anniversary of Awami League on 23 June in Dhaka," an official said.
