India bans imports of more goods from Bangladesh
India has expanded its ban on Bangladeshi imports via land ports to include more jute products, routing them only through Nhava Sheva seaport. The move, amid worsening ties, follows earlier restrictions on garments and processed foods, impacting $770 million in trade
New Delhi: India has expanded the list of imports from Bangladesh that are banned from entry through any land port on the border by including more jute products amid deteriorating relations with the neighbouring country.
These additional goods, which have been banned with immediate effect, include bleached and unbleached woven fabrics made of jute or other textile bast fibres; twine, cordage, and rope made of jute; twine, cordage, rope, and cables; as well as sacks and bags made of jute.
These items will not be allowed through any Land Customs Stations or Integrated Check Posts in Assam, Meghalaya, Tripura and Mizoram, as well as LCS Changrabandha and Fulbari in West Bengal.
According to the notification issued by the Director General of Foreign Trade, the import of these goods is allowed only via Navi Mumbai’s Nhava Sheva Seaport. The notification further said these restrictions wouldn’t apply to Bangladesh exports to Nepal or Bhutan, while noting, “Re-export of the aforesaid Bangladesh goods to India from Nepal or Bhutan shall not be allowed.”
Earlier, in a notification dated June 27, the department listed several goods from Bangladesh that would be subject to regulation. These include flax tow and waste (including yarn waste and garnetted stock); jute and other textile bast fibres, raw or retted; jute (excluding flax, true hemp, and ramie); single flax yarn; single yarn of jute or other textile bast fibres; multiple folded yarn; woven fabrics of flax; and unbleached woven fabrics of jute or other textile bast fibres.
Besides, on May 17, India banned the import of goods, like readymade garments and processed food items, from Bangladesh to India through cross-border trade points with the neighbouring country.
This decision is expected to hit goods worth $770 million (Rs 6,600 crore) that flow in from Bangladesh. Readymade garments, valued at $618 million (Rs 5,290 crore), now face strict routing through only two Indian seaports. This severely limits Bangladesh’s most valuable export channel to India.
The other goods that have been barred from entry into India through the land customs stations on the border include fruit-flavoured carbonated drinks, processed foods, cotton and cotton yarn waste, plastic and PVC finished goods, and wooden furniture. The total value of these items is pegged at around $153 million (Rs 1,310 crore).
According to the directive, “Import of all kinds of Ready-Made Garments from Bangladesh shall not be allowed from any land port; however, it is allowed only through Nhava Sheva and Kolkata seaports.”
The Indian move came after the Bangladesh government in April banned the import of yarns from India to the country via land ports through a notification from the National Board of Revenue.
Earlier, India terminated the trans-shipment facility for Bangladesh, which allowed the latter to export its products to other countries through Indian seaports and airports.
India is Bangladesh’s second-largest trading partner after China. In the fiscal 2022-23, Bangladesh-India trade amounted to around $16 billion. Bangladesh imported goods worth about $14 billion, while its exports to India stood at $2 billion, as per industry data.
