Union Minister of State for Commerce Jairam Ramesh, discussed various steps to improve the Infrastructure for trade and commerce in the North-Eastern States. One such step was to open more Land Custom Stations (LCS) along the Indo-Bangladesh and Indo-Myanmar borders to improve trade activities with the neighbouring countries, according to Mr. Ramesh.

Mr. Ramesh said that 13 Integrated Check Posts (ICPs) will also be set up in borders with Pakistan, Nepal, Bangladesh and Myanmar, (4 being In the NE), at a total cost of Rs.850 crore and to be completed within two years. The proposal by Arunachal Pradesh government to open two LCS in China border will be taken up with the Ministry of External Affairs, he said. There is a proposal for restructuring of air freight subsidy for horticulture products of NE as well as for Iand transportation with 90% subsidy, Mr. Ramesh said.     .

The Minister stressed on looking for new areas for investment in NE such as rubber and spice cultivation in Assam and Tripura in which the share of the region can go up to 15%. The Rubber Board and the Spices Board are taking up various schemes to add up substantial value and new Investments in the NE and also are identifying their export potential. Organic farming is being encouraged for which subsidies are being given. Crops Identified are ginger, turmeric, cumin, pepper, cardamom, chillies, etc. The Tea Board is also setting up cooperative processing factories to help small tea growers and to give them subsidy for transportation also,

The Minister favoured the setting up of a NE Export Promotion Council to boost trade In the NE, as currently the region is in a disadvantaged position for acquiring externally-aided projects for which the Prime Minister has urged the Finance Ministry to review all existing provisions. The Asian Development Bank (ADB) had' identified three crops "Of .NE, such as, pineapple, bamboo and rubber for having maximum potential for export with the Asian countries. Arrangements are being made with a Bangladesh firm for supp.lying about 80,000 tonnes of bamboo chips from Mizoram, he said.

At present there is export worth Rs.l000 crores from the NE, with tea products leading, followed by coal. There is a demand also by NE trade ministers for duty-free imports from Bangladesh. Mr. Ramesh said that the NE states can be leading exporters of flowers and other horticultural products. The Central government has also approved most of the handicraft and horticulture projects of the NE. He favoured opening of passport offices in more NE states, to facilitate trade and commerce.

Regarding the North East Industrial Policy (NEIP), the Minister favoured Its extension beyond March 2007 and which should have a package different from that of the North Indian states. At present, the NEIP is largely benefiting the states of Assam and Meghalaya, which are availing about 92% subsidy, mainly for cement industries. He said that such. Meetings would be held In the NE every five months, to discuss ways "to improve- trade and commerce in NE with the third to be held in Agartala in January 2007. Mr. Ramesh said that a major Investment Summit will be held In Guwahatl' by this year end to be convened by the Ministries of DoNER and Commerce, where investors in horticulture and fruit products from all over the country will participate.

The Hlndustan Aeronautics Ltd. (HAL), will also start a Dornler-based regional air service in NE soon for which a DPR has been submitted and which has received a favourable response from the Ministry of Defence, Mr. Ramesh said.

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