Exploring the Unexplored: Sustainable Development through Energy Trade between Bangladesh and India

Abstract

<p><em>Bangladesh and India have developed friendly relations in the recent years. Both cultural exchange and people to people contacts have increased over the past few years. Of course the differences over water management issues and border management troubles still continue to haunt the otherwise growing relations between the two nations. Interestingly, the relations have flourished to such an extent in the past years that the old hurdles have been demolished and new relations are being generated even in terms of official statements and Memorandums of Understanding for bilateral cooperation being signed. Despite these developments the trade relations between the two nations have been of limited success. Of course the trade has increased extensively in the recent pas: however, it is nowhere close to its potential stage. The trade between the two nations can present mutual benefit and major infrastructural and economic growth for a growing Bangladesh. Through this paper it is being argued that via increasing connectivity efforts the trade between the two nations can increase. These paper intents to suggest some holistic policy changes in the two nations that can help increase trade and create harmony in the region. A growing Bangladesh needs security and peace at its border and investment in its home ground as a sine qua non. Through simple policy changes toward increasing connectivity the nation can not only resolve its issues but also grow at a rapid pace. Unlike most scholarly articles, this paper does not intent to pitch one nation against another in equation to the third. Therefore this paper does not suggest policies that India should change, relax or implement toward wooing Bangladesh into establishing hegemony in the region by winning it over as an ally or establishing dominance over and against China. This paper does not intent to explain the mechanics of dominance in the world order or this region in the world. The paper merely explains how different sectors in the Bangladesh market can prosper by engaging in trade with India. Exchanges in the energy sector of course are a major sector that has been less explored on the trade agenda. Keeping the environment in mind, energy exchanges and trade can be the single most precious trade potential that can be explored for mutual benefit. It is with this view in mind the paper shall address first, the potential increase in connectivity that may result in larger trade opportunities. Secondly, the paper shall suggest policy changes that the two nations need to address in order to avail the potential trade opportunities. Finally the paper shall suggest the key question of Sustainable Energy exchange and energy trade between the two nations.</em></p>

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