Dhaka, Aug 21 (PTI) The Bangladesh interim government on Thursday decided to revitalise a joint economic commission and form a new trade and investment commission with Islamabad during Pakistan commerce minister’s visit here.

Talking to reporters after a meeting with Pakistan Commerce Minister Jam Kamal Khan, Bangladesh’s Commerce Adviser Sheikh Bashir Uddin said the interim government simultaneously sought Pakistan to withdraw its anti-dumping duties on hydrogen peroxide exports.

"We had very intensive discussions. We are working on reactivating the Joint Economic Commission (JEC) and forming a new Trade and Investment Commission," Uddin said.

He said the existing JEC between the two countries was not “so operational” over the years and thus both sides agreed to take steps to revitalise it.

The adviser said if Bangladesh and Pakistan jointly, or through foreign investment, could produce intermediate goods, it would be mutually beneficial for both the countries.

Uddin said Bangladesh imports goods worth USD 80 billion annually, of which USD 15 billion consists of food and intermediate products.

"Pakistan has imposed anti-dumping duties on our hydrogen peroxide exports. We have requested the withdrawal of that duty, and they have given assurances. We also sought their support in developing our leather and sugar industries," he said.

Uddin said Bangladesh once enjoyed a duty-free quota of 10 million kilograms of tea exports to Pakistan, and Dhaka has requested the reinstatement of that facility as well.

"There is ample opportunity to expand trade in these products between the two countries. That is why a new Trade and Investment Commission is being formed," he said.

Bangladesh also sought Pakistan's assistance in enhancing domestic sugar production capacity and also invited Pakistani investment in intermediate goods manufacturing.

"They (Pakistan) have responded positively to all our proposals, and these issues will be further discussed in the new commission," Uddin said.

Asked if Bangladesh was leaning towards Pakistan, the adviser said "we are leaning towards everyone – Pakistan, the United States, even importing onions from India”.

"Bangladesh's interest comes first; wherever our national interest lies, that is where we lean," he said.

The ties between Dhaka and Islamabad witnessed a low ebb during ousted prime minister Sheikh Hasina’s Awami League government particularly when Bangladesh initiated trials of hardened collaborators of Pakistani troops during the 1971 Liberation War in 2010.

The relations between the two countries became warmer after the installation of the Muhammad Yunus-led interim government in August 2024, three days after the ouster of the past regime.

Since then, Bangladesh and Pakistan began direct shipping, eased visa and trade regimes and are set to start direct flights.

Fly Jinnah secured approval from Bangladesh and another Pakistani airlines operator Air Sial has applied for the approval.

Officials said Biman Bangladesh planned to seek Pakistani approval to operate flights between the two countries.

A Pakistani business delegation, led by president of the Federation of Pakistan Chamber of Commerce and Industry Atif Ikram Sheikh, visited Dhaka in January this year after 12 years.

Separately, Bangladesh on Thursday said it has decided to sign an agreement with Pakistan to allow government officials and diplomats from both sides to visit each other’s country without visa for five years. The Pakistan government has already approved it. PTI AR GSP GSP

Trade commission revitalisation to expand bilateral trade and investment, address anti dumping duties, and ease official travel. Bangladesh and Pakistan will reactivate the Joint Economic Commission and establish a new Trade and Investment Commission to expand trade, attract investment in intermediate goods and industrial sectors, and pursue withdrawal of Pakistan's anti dumping duties on hydrogen peroxide; Pakistan has given assurances and both countries will further negotiate reinstatement of duty free tea access, industrial cooperation in leather and sugar, and facilitation of reciprocal visa free entry for officials under a five year arrangement.