Dhaka  - Bangladesh and India Tuesday renewed their inland water transit and trade protocol to increase river-bound commerce between the two South Asian neighbours, officials said.

Bangladesh Shipping Secretary Masud Elahi, and Indian Additional Secretary Vijay Chibber of the road, transport and highways ministry, signed the deal after two days of negotiations in Dhaka.

The renewal takes effect April 1, 2009 and will remain in force for two years.

The protocol was first signed in 1972 to make mutually beneficial arrangements for the use of their waterways. It is renewed every two years.

Bangladesh currently receives a levy of some 20 million taka or 290,400 US dollars annually from India for allowing Indian vessesl to use Bangladeshi waterways.

The two sides also agreed to form a joint committee soon to solve the navigability problems, as many rivers in Bangladesh, including the Meghna and Padma and the Teesta, have developed vast sandbars.

Both the signing parties emphasized strengthening security for their vessels and crews in their territorial waters. (dpa)