Krishnapatnam Port earmarked a historical moment for India’s bilateral trade and commerce as the first direct container vessel set sail from the port on Monday.
This was part of coastal shipping agreement to facilitate trade between India and Bangladesh.
The trade agreements that were signed during the reign of the then Indian Prime Minister Indira Gandhi in 1974 were revived after a period of four decades during Prime Minister Narendra Modi’s visit to Dhaka last year. MV Harbour-1 owned by Neepa Paribahan and built by Western Marine Shipyard, is the first Bangladesh container vessel to have received the permission from the shipping departments of both the countries.
Chinta Sasidhar, Managing Director, Krishnapatnam Port Company Ltd (KPCL), India’s largest all-weather deep water port on the east-coast, said: “This agreement is historic not just for Krishnapatnam but for the entire nation as this would pave way for enhanced bilateral trade ties between the two closest neighbours of the subcontinent. Besides an improved connectivity, the service will play a vital role in decongesting the border points and bringing down the cost and transit time involved, thereby providing the best competitive freight rates to the advantage of the industry.”
To facilitate easy bilateral trade, many conditions have been waived by both countries. The vessels of both the countries upon entry into India and Bangladesh, shall be treated as domestic vessels and not foreign vessels. The provision will play a key role in addressing the traffic congestion at Petrapole (India) and Benapole (Bangladesh) the two border points which pose as one of the biggest impediments to the movement of EXIM cargo.