“Why should we operate on this runway with a smaller ship? It can be operated by a larger vessel. Okay, it`s not a protocol pathway, but if you include it in the protocol pathway and you still have a restriction, then we need to follow the size limit and standard set out in the agreement,” an industry source said. This agreement on coastal shipping would essentially facilitate the direct regular movement of vessels between India and Bangladesh, reducing the delivery time from an average of 30 to 40 days to seven to 10 days. The two sides hope that improved connectivity will improve mutual trade, which in turn will bring a new growth spurt for the entire region and new vitality to India`s trade relations in the immediate vicinity. The size and standard restrictions only apply to the protocol routes mentioned in the Coastal Shipping Pact, says V K Singh, managing director of Shreyas Shipping & Logistics Ltd. The motor vehicle agreement will pave the way for hassle-free cross-border traffic of freight and passenger cars in the BIMSTEC region, which includes seven countries, including five of the eight members of saarc (South Asian Association for Regional Cooperation). The Agreement on Coastal Navigation applies to navigation within 20 nautical miles off the coast of BIMSTEC countries and therefore requires smaller vessels and is associated with lower costs and less time. India on Thursday pushed other BIMSTEC countries to act quickly on regional connectivity initiatives, starting with facilitating cabotage and cross-border vehicular traffic. Currently, there are no restrictions on ships that meet international standards for trade between India and Bangladesh. However, the cabotage agreement only allows a lower standard for trade between the two countries. Although there is a lot of talk about the india-Bangladesh land border agreement, the real turning point in recent talks between the two neighbours has been the cabotage deal.
So far, most of our trade is by land and, to the extent that we have maritime trade, it is done through remote ports like Singapore. The goods are then transferred to feed ships, which then take them to Chittagong in Bangladesh. India and Bangladesh signed an agreement on coastal shipping on 6 June 2015. The Standard Operating Procedure (SOP) between the two countries was also adopted on 15 September. November 2015 to implement the Agreement on Coastal Navigation. The agreement aims to promote reciprocal trade between India and Bangladesh through their respective ports. The Coastal Navigation Pact currently allows vessels up to 6,000 gross tonnage (GT) due to size restrictions imposed by the River-Sea Vessel (RSV) Rules formulated separately by the Directorate General of Navigation of India and the Department of Navigation of Bangladesh. Indeed, Article II of the Covenant, signed on 6 June 2015, covers only vessels flying the Indian and Bangladeshi flags that meet RSV or equivalent standards for the operation of services between the two countries.
He also wants Dhamra Port, V.O. Chidambaranar Port Trust (formerly Tuticorin Port Trust) and Kamarajar Port Ltd to be included in the agreement as ports of call. The Mumbai-based singer-songwriter lives beyond a label, mixing genres and what it takes to make his own. Overall, this increased exchange between India and Bangladesh will work because it is mutually beneficial. India has not hesitated to give more land enclaves to Bangladesh than it receives, because the other profits that India will make, especially in coastal links, would be very beneficial to us. India has also requested Bangladesh to include the movement of export and import goods (EXIM) from third countries in the agreement by allowing transhipment through ports on India`s east coast. “If we include ships of any size that meet international standards in the agreement, it will benefit the shipping industry as more ships can operate under the agreement,” the official said. Previously, cargo between countries passed through the ports of Colombo/Singapore/Klang.
But this agreement allowed the direct regular movement of ships between India and Bangladesh and shortened the delivery time from 25 to 7 days, with estimated savings of about $300 per container, which was observed in the case of the Chittagong-Krishnapatnam container service. The aim of the agreement is to facilitate coastal navigation in the region and thus stimulate trade between Member States. The agreement would apply to coastal navigation, i.e. navigation within 20 nautical miles of the coast. The requirements for the movement of ships in this part of the sea differ from the standard requirements of deep-sea shipping. Coastal vessel movements require smaller vessels and less draught and are therefore associated with lower costs. Once the agreement has been ratified and entered into force by the Member States, a large part of the freight traffic between the Member States can take place via the cost-effective, environmentally friendly and faster coastal shipping route. India recently signed an agreement with the Iranian government to establish two berths in the strategically important port of Chabahar for $85 million.
The port will allow India to access Afghanistan through Pakistan and is close to another strategically important Gwadar port in Pakistan, where the Chinese have a significant presence. Please read CUTS International`s working note at: cuts-citee.org/pdf/working-note-india-bangladesh-coastal-shipping-agreement.pdf What`s TrendingA quick scan of social media hashtags shows what diwali buyers are doing. On. India is seeking to lift the size limit on ships sailing between India and Bangladesh under the coastal navigation agreement signed between the two neighbours in June 2015, as the pact is due to be renewed next year. The agreement runs until June 2020, but is currently under review before being extended by five years. Member states of BIMSTEC (Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation) met last week in New Delhi to discuss how to promote cabotage in the region. At this first meeting of the working group, member countries discussed the draft text of the BIMSTEC agreement on coastal navigation drafted by the Ministry of Navigation. Once the tangible benefits of the cabotage agreement and its co-benefits begin to trickle down, two of India`s other important and interconnected neighbours, namely Bhutan and Nepal, will also begin to reap the benefits of development and connectivity. .