India and Bangladesh, being the closest of the neighbouring countries, felt the need and desire for economic and bilateral trade cooperation on a long-term sustainable basis. Trade between the two countries has been growing rapidly since the early 1990s. India and Bangladesh offer natural markets for each others’ products. In their mutual trade, they enjoy the advantages of reduced transaction costs and quicker delivery due to geographical proximity, common language, heritage and physical infrastructures. On that ground, formation of a joint business chamber to boost trade between India and Bangladesh was a long felt necessity of the business communities of both the countries.