The New Nation - Internet Edition

UNB, Dhaka

China has offered assistance to Bangladesh on both multilateral and bilateral planes in terms of grants and aid for trade in facing fallout of the current global economic recession

under a comprehensive recipe of cooperation in all prospective fields.

"As a responsible member of the international community, China will continue to offer assistance to Bangladesh and other developing countries to the best of its ability, in the forms of grant, debt relief and aid for trade," new Chinese Ambassador Zhang Xianyi told UNB in an interview on Saturday. On bilateral plane, he said Bangladesh and China should deepen economic and trade cooperation and diversify the areas of interaction. "I also suggest the two governments work together to implement the pending projects which we have discussed for years."

The projects cover fertilizer production, water supply, sewerage treatment and IT sectors which he said are closely connected with the priorities of the country's new government and it would benefit the people by achieving the goals of food self-sufficiency, water supply and building Digital Bangladesh. "As always, China is willing to support Bangladesh friends in its social and economic development," said the envoy of the Asian country that maintained the highest economic growth in the world by keeping at bay the sweeping financial flu in the outer world by virtue of pursuing a system that combines market economy and their socialist state control.

During the interview, the Ambassador spoke about trade imbalance, expanded cooperation in agriculture, education, science and technology, and defence cooperation.

On China's financial support to Pagla Water Treatment and North Dhaka Sewerage Treatment Plants, Xianyi said as Bangladesh sought assistance, the Chinese government is willing to make financial arrangement for these projects to improve water supply and living environment for the inhabitants of Dhaka.

Asked about ways of reducing the imbalance of trade, heavily tilted towards Beijing, he said China has actively adopted measures to increase imports from Bangladesh for several consecutive years. Last year, Chinese delegations made US$ 76 million worth of purchases from Bangladesh.

Under the Asia-Pacific Trade Agreement, China provides zero-tariff facility for 84 commodities of Bangladesh and preferential tariffs for 78 other items. He said the two sides are now discussing the matter of renewing and enlarging the list of Bangladesh commodities enjoying preferential treatment on the Chinese market.

On Chinese investment in Bangladesh Xianyi said overseas investment from China increased to US$ 32.7 billion in 102 countries and regions last year. He said Bangladesh with abundant labour resources and big market should take larger part of Chinese overseas investment.

"We always encourage Chinese enterprises with strength and fame to make investment in industries where Bangladesh has comparative advantages, such as light industry, textiles, garments and home appliances in accordance with the rules of the market economy, mutual benefit and common development," he said.

The Ambassador noted that the Bangladesh government has proposed to establish a 'China Industry Zone' for Chinese investors. He said Chinese investment in Bangladesh has increased, with its direct investment coming to US$ 30 million, which is three times higher than the previous year.

"I believe that with the improvement of investment environment in Bangladesh, there will be more Chinese enterprises making investment here," he noted.

Asked about Chinese help in power generation in Bangladesh, he said China and Bangladesh have cooperated in power sector for long, and they are happy to share their experiences and technologies with Bangladesh. With +abundant gas and coal resources, he said, Bangladesh has potential to increase power generation.

Xianyi said in the past some Chinese companies were active in constructing a few power plants. But, he noted, Bangladesh companies lack the experience in maintaining and operating power plants. It is necessary to enhance communications to better the productivity of power plants in Bangladesh.

Asked about nuclear power plant in Bangladesh, he said China and Bangladesh signed an agreement on peaceful use of nuclear energy in 2005 which opened the door for conducting nuclear cooperation between the two countries. The two governments could continue discussion in this area.

About Chinese cooperation in agriculture sector the Ambassador said after the signing of bilateral deal on cooperation in agriculture, the two countries formed a joint committee and held its first meeting in Dhaka 2007 discussing cooperation in hybrid seeds, byproduct processing, technology transfer, small machine and equipment aid, etc.

The second meeting of the Sino-Bangladesh Joint Committee on Agriculture will be held in Beijing this year when more concrete strategies of cooperation could be discussed.

On cultural cooperation, he said this august "Asian Cultural Ministerial Roundtable Meeting will be held along with the 11th Asian Arts Festival in China's Inner Mongolian Autonomous Region. Information Minister Abul Kalam Azad will attend the function while a 15-member Bangladesh arts troupe will join the festival.

On proposed Chittagong-Myanmar-Kunming road link, Xianyi said China takes an active attitude on this project as it would facilitate personnel exchanges and trade among countries in this region.

About Chinese financial and technical assistance for construction of 130-km rail track connecting Chittagong, Gundum and Kunming, he said Bangladesh government submitted several proposals on railway, road and bridge projects to China. "We are willing to listen and discuss with Bangladesh side over any detailed proposals," he said.