The land port will formally be opened on May 22 by Shipping Minister Akbar Hossain. Nepalese commerce minister is expected to be present at the opening function.

A 52-km road over the Indian territory links Banglabandha land port of Bangladesh with Kakorvita border point in the Himalayan Kingdom Nepal.

Currently India allows only two hours a day for using the road as transit for transporting goods between Bangladesh and Nepal.

Sources however said there is no indication from the Indian side that the duration of transit facilities would be increased for smooth transportation of goods.

"If India does not cooperate in transporting goods through its land, the land port at Banglabandha would never be vibrant," said a businessman in Dhaka.

Though a border check post was opened at Banglabandha a few years back, it did not function properly due to lack of infrastructure facilities.

Moreover, lack of necessary cooperation from the Indian government to use its 52-km corridor also hampers Bangladesh-Nepal trade, according to local businessmen.

But sources in the shipping ministry claimed they have this time got assurance from the Indian authorities regarding cooperation in using their territory.

Local businessmen said Banglabandha land port has great potential for increasing trade not only with Nepal but also with neighbouring Bhutan.

There is a market of Bangladeshi goods such as readymade garments, ceramics, biscuits, cosmetics, battery and jute goods in these two Himalayan states.

The government took the initiative to develop a land port at Banglabandha as landlocked Nepal showed interest in using Mongla Port for importing goods from other countries.

To encourage Nepalese importers in using Mongla Port, Bangladesh gives 50 percent discount on port charges for Nepal-bound goods.

The government has constructed a building at a cost of Tk 1.40 crore at Banglabandha with all necessary facilities for smooth functioning of the land port.

The building with 8,500 square feet space will be used for offices of customs, immigration, bank and land port authority, the source said.

However, a full-fledged land port would be developed later on 10 acres of land on build, operate, transfer (BOT) basis by a private company, they said.

The National Board of Revenue (NBR) is also taking necessary steps to remove all barriers to the border trade with Nepal.

Sources said the NBR would deploy permanent officials and staff there for processing export-import documents. Currently, officials have to come from Panchagarh, some 57 km off the land port, for processing the documents.