Asian Development Bank Strengthening Trade along the Dhaka-Kolkata Route

Annotation

The economies of Bangladesh and India are driven by fast-growing bilateral trade. The efficient movement of goods between the two countries is essential to their economic growth. However, inefficient procedures at land crossings, paired with infrastructure constraints on both sides of the border, inflate the time and costs of conducting trade. This study examines some of the key bottlenecks to trade on land between Dhaka and Kolkata, and provides recommendations on how to address them. Reducing traffic congestion along the major routes, and improving facilities and clearance procedures at the border crossings can significantly improve trade between Bangladesh and India, and contribute to more robust economic growth across the South Asia Subregional Economic Cooperation zone as a whole.