Too long sensitive list is one of the major barriers to effectively implementing the agreement of South Asian Free Trade Area (Safta), they observed.

Bangladesh Enterprise Institute (BEI) organised the seminar on 'SAFTA: Opportunities and Challenges' as a follow-up of research and regional consultations sponsored by USAID. BEI President Farooq Sobhan moderated the seminar in Dhaka.

Prof Rehman Sobhan, chairman of Centre for Policy Dialogue (CPD), said trucks loaded with goods are waiting for weeks and there are 'mafias' waiting on the borders in the name of bureaucracy.

The first exercise needs to be taken is to calculate the cost and benefits of eliminating negative list, Rehman said terming the negative list a 'nonsensical' one.

Responding to the speakers, DN Srivastava, economic minister of the Indian High Commission in Dhaka, said a high-powered team led by Indian commerce secretary is now working at Petrapol to make sure that infrastructure is improved there.

As far as non-tariff barriers are concerned, it is basically related to the standard certification, he clarified. "We are really interested in resolving all these issues."

Shahid Javed Burki, former World Bank vice president for Latin America, said India is not generous in encouraging imports from its neighbours.

They are using non-tariff barriers (NTBs) to discourage trade, Burki said stressing the need for changing the mindset in this regard.

Timetable for the sensitive list is too long, he said adding that Saarc (South Asian Association for Regional Cooperation) secretariat is not in a decision making shape.

India's GDP and trade are highest among the South Asian countries and the country has capital for cross border investment, said Burki, also a former finance minister of Pakistan.

M Abdul Karim, commerce secretary, identified NTBs as one of the bottlenecks in increasing trade in the region.

Sayed Alamgir Farrouk Chowdhury, former commerce secretary, said all the countries in the region, with the exception of Bhutan and Nepal, continued to develop under a very protective regime of import substitution.

Types of goods exported by the members are similar, which means they are competitors in the export market, the market also being the same, the EU and US, Chowdhury went on.

Prof Mustafizur Rahman, research director of the CPD, said there are issues in Safta deal that go beyond trade and there are lots of opportunities for closer cooperation within South Asia.

Annisul Huq, former president of Bangladesh Garment Manufacturers and Exporters Association (BGMEA), said although India is very competitive and it can beat anyone if it wants, there is a possibility of increasing trade there.

Roubina Taufiq Shah, commercial secretary of Pakistan High Commission in Dhaka, noted there are lots of para-tariffs in Bangladesh that are encouraging smuggling.