Volume 18, No. 5, 2021
Trade Intensity And Trade Complementarity Between India And Bangladesh
ARIFA TABASSUM
Abstract
Bangladesh is one of the most important export markets for India. For the past several decades it has been the largest export market for India in the SAARC region. This paper is an attempt to study the trade intensity and trade complementarity between India and Bangladesh. Trade Intensity Indices and Trade Complementarity Index are used to find the intensity and complementarity of trade between both the countries. The measure of the extent of trade between both the countries reveals that the share of India’s exports to Bangladesh out of world exports to Bangladesh is more than expected and significant. But share of Bangladesh’s exports to India out of world exports to India is less than expected and insignificant. The trade complementarity between both the countries reveal that there is high complementarity in Bangladesh’s import and India’s export but low complementarity in India’s import and Bangladesh’s export.
Pages: 325-334
Keywords: India, Bangladesh, Trade intensity, trade complementarity.