PM visits Dhaka under Teesta shadow

"The subject of water is a sensitive issue. We have been trying to arrive at an agreement on Teesta which is acceptable to all parties," he said.

"In our federal scheme of things, nothing is done or will be done without consultations with the State Government.

"Any agreement that we conclude will have to be acceptable to the State Government; at the same time, it would also have to be acceptable to Bangladesh," Mathai said.

But ahead of his trip, the PM in a statement said the visit will strengthen the friendship.

"Our two countries are today witnessing an extraordinary period of cooperation and friendship. My visit will provide an opportunity to review the progress achieved in the implementation of the decisions taken during the historic visit of Prime Minister Sheikh Hasina to India in 2010," the PM said.

"It is a matter of satisfaction that we have made concrete progress in several areas such as security, boundary issues, water resources, power connectivity, improvement of border infrastructure, trade facilitation and economic cooperation. Our endeavour will be to sustain and build upon this positive momentum," he said.

He said his visit to lead to greater cooperation between India and Bangladesh in all these areas. We also expect to conclude concrete agreements which will help us to elevate the level of our cooperation in the traditional areas of cooperation and to develop cooperation in new areas.

The PM will be accompanied by his wife Gursharan Kaur.

The members of the Prime Minister's delegation include the External Affairs Minister; the Chief Ministers of Assam, Mizoram, Tripura, and Meghalaya; the National Security Advisor; the Foreign Secretary; the Secretary (Water Resources), and other senior officials.

The main elements of the programme include a call on the President of Bangladesh; both restricted and delegation-level talks between the two Prime Ministers; calls on the Prime Minister by the Foreign Minister, the Finance Minister, the Leader of the Opposition, and the President of the Jatiya Party.

The Prime Minister would lay a wreath at the National Martyrs Mausoleum and also visit the Bangabandhu National Museum to pay homage to Sheikh Mujibur Rahman, the valiant son of Bangladesh.

The Prime Minster is also scheduled to deliver an important address on "India, Bangladesh and South Asia" at the Dhaka University on Sept 7.

Mathai said in regard to Lines of Credits Projects, India had agreed to extend the largest ever Line of Credit of one billion dollars to Bangladesh, when Sheikh Hasina was in India.

"I am happy to tell you that 13 of the 20 projects which we considered, which amount to about US$ 750 million, have already been finalized." he said.

The bilateral visit by the Prime Minister is happening after a gap of 12 years.

"It aims at consolidating the process set in motion during the landmark visit of Prime Minister Sheikh Hasina to India in Jan 2010, to craft a new paradigm in our relations," Mathai said.

"We are trying to put in place a broad-based agenda of cooperation in areas including trade and investments, infrastructure, power, water resources, border management, education, cultural contacts, people-to-people exchanges, better border and transport infrastructure or what is called connectivity," Mathai said.

"Both sides are determined to iron out any divergences and lay a firm foundation of mutually beneficial engagement, to enhance trust, cooperation and stability not only between our countries but in South Asia as a whole," Mathai said.

Mathai said substantial progress has been made in implementing the decisions taken during the visit of Bangladesh Prime Minister last year.

The foreign secretary listed the following issues:

Boundary-related issues-

1. We have had the joint headcount in the enclaves which was conducted in July 2011.

2. The Joint survey of territories under adverse possession which was conducted in West Bengal, Tripura , Assam and Meghalaya.

3. Electrification of Dahagram and Angarporta.

4. Commencement of the signing of the strip maps on August 20, 2011.

Border Management/Security:

1. We have had a Coordinated Border Management Plan which was signed between the two sides in July, 2011 when our Home Minister Shri P. Chidambaram had visited Dhaka.

2. There is the ratification of the three security-related agreements signed during the visit of PM Sheikh Hasina last year.

Water Sector:

1. We have had the 37th meeting of the Joint River Commission held in March, 2010.

2. We have had the principles of water-sharing agreements finalized at the Secretary-level meeting in January, 2011.

3. The Dredging of the Ichamati river, which was mentioned at that time, has been undertaken and completed.

4. River bank protection and embankment repair works of various common river ways is underway.

5. Exchange of information on flood forecasting is taking place regularly.

Power sector:

1. The Bulk Power Transmission Agreement was signed in June, 2010.

2. There was a Memorandum of Understanding between the Bangladesh Power Development Board (BPDB) and our NTPC to undertake a feasibility study in Khulna and Chittagong, which was signed in August last year.

3. The construction of transmission lines and HVDC station for India-Bangladesh Grid Connectivity has in fact commenced.

Trade/Connectivity:

1. The Ashuganj and Silghat have been declared as ports of call with customs notification carried out in Silghat.

2. An MoU on border haats for border trade was signed in October, 2010, and the border haat at Kalaichar in Meghalaya was inaugurated in July, 2011.

3. There has been an increase in the TRQ (Tariff Related Quota) from 8 million to 10 million pieces of garments announced in April, 2011 during the visit of our Commerce Minister to Bangladesh.

4. The movement of Over-size Dimensional Cargo (ODC) through the Ashuganj route has commenced. This is for the Palitana power plant.

5. The Finalisation of alignment for the Akhaura-Agartala rail link and the Sabroom-Ramgarh Land Customs Station has been undertaken.

6. We have finalized the Standard Operating Procedure (SOP) for movement of trucks from Bhutan and Nepal into Bangladesh.

7. We have concluded the SOP for the facilitation of movement of trucks between the Land Customs Stations between India and Bangladesh.

8. The Bilateral Investment Protection and Promotion Agreement has been ratified.