Implementation of the recent BBIN-Motor Vehicle Agreement (MVA) would face a number of challenges like financing, regulatory and technical, Centre for Policy Dialogue (CPD) said yesterday.
Standard operating procedures, weight of vehicles, axle load and dimension, road design and construction standards, prescribed routes, commodity classification system, rates of taxes and fees, and transits should be detailed out in line with the global practices during the next six months, according to an analysis of the civil society think-tank.
As follow-up actions since the BBIN-MVAs was signed by Bangladesh, Bhutan, India and Nepal (BBIN) on June 15, preparation of multilateral protocols is supposed to be held in July, MVA formalisation in August, negotiations and approvals in September, BBIN Friendship motor vehicle rally in October and preparatory work to be completed in December.
The analysis said the road maintenance fees levied by the host country on vehicles engaged in cross-border traffic (both transit and inter-state) should be commensurate with the road maintenance fees levied by the host country on its domestic vehicles.
“It’s not enough to design the implementation modalities to ensure win-win outcomes. It’s also equally important that this is perceived to be so by the citizens,” CPD Executive Director Prof Mustafizur Rahman said in his presentation on Trade Facilitation in South Asia Through Transport Connectivity: Operationalising the Motor Vehicle Agreements (MVAs) in the city yesterday.
CPD Chairman Professor Rehman Sobhan chaired the event with Road Transport and Bridges Minister M Obaidul Quader attending.
Professor Rahman said MVAs should be examined in view of other recent developments to deepen economic relations taking place at bilateral, sub-regional and regional levels in South Asia.
The CPD analysis said all the relevant documents, including the BBIN-MVAs, protocols, permit forms, information about fees, surcharges and user-fees should be freely available on dedicated websites to ensure transparency in all steps.
It recommended setting up a national committee in each of the four countries to co-ordinate the issue.
The CPD executive director said various cooperation are now going on – in investment, special economic zones, development of roads – but all these should have to be integrated. Earlier, these were so much disjoined. “Because of this, Bangladesh failed to take full advantage earlier.”
“Transport and investment should be very much coordinated and should be reflected in the seventh five-year plan,” said Professor Rahman.
“If we have the MVA, obviously there will be lot of problem in terms of crossing the boarders. These will have to be decided, negotiated and consulted up front. Otherwise, we will have same problems as boarders are control points not crossing points.”
Laying importance on transport connectivity for the economic development, Rahman said South Asia has till date continued to remain the most disconnected region in the world, with high cost of doing business and missed opportunities.
Indian High Commissioner in Bangladesh Pankaj Saran said the main message of the agreement is that the countries are ready to help each other in areas – water, transit and trade – going beyond seminars and conference rooms.
Identifying land scarcity to implement the agreement, he said the point of agreement could not be limited only to land as land acquisition is a real problem that hugely could have impact on road constructions.
On fees and charges, he said: “I think it is necessary to recognise that every single agreement that we have signed including this one, there are specific provisions which are mutually agreed on charges, fees and so on.
“When you about the transit and fee, you have to look at the market and stakeholder. We should keep in mind that total population in North East is 40 million. Economic activity of transit will generate transit business in Bangladesh to be seen in perspective. If you are talking of extracting the maximum benefit from the transit activity in Bangladesh, you have to keep in mind that who are the customers.”
He said the projects under second credit line will get priority in infrastructure development, education and health sectors development.
The Federation of Bangladesh Chambers of Commerce and Industry President Abdul Matlub Ahmad said regional connectivity will bring huge benefit for this region.
