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India's move on Burma gas upsets Bangladesh

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Dated 20/5/2006

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Bangladesh has threatened to scrap all gas supply agreements with India if it takes its gas pipeline from Myanmar via Mizoram, but the government is going ahead.

Bangladesh which has been unable to overcome internal opposition to be a supplier to India hoped for a royalty and share from the Myanmar pipeline and believed it was Indian posturing to consider the alternate Mizoram route.

The secondary Mizoram route was thought high cost and terrain unfriendly, but French consultants say it could meet Indian needs and be built within a time frame.

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