India’s Import Restrictions Impact $770 Million Worth of Bangladeshi Goods
Why in News?
- India has imposed import restrictions on goods from Bangladesh, affecting approximately $770 million (₹6,600 crore) worth of trade. This move primarily targets readymade garments and other products entering through land ports.
Important Key Points:
-
Restricted Goods and Routes:
-
Readymade Garments: Imports valued at $618 million (₹5,290 crore) are now restricted to entry only through Nhava Sheva and Kolkata seaports.
-
Other Affected Items: Fruit-flavoured carbonated drinks, processed foods, cotton and cotton yarn waste, plastic and PVC finished goods, and wooden furniture, collectively worth around $153 million (₹1,310 crore), are also barred from land port entry.
-
Unrestricted Items: Imports of fish, LPG, edible oil, and crushed stone from Bangladesh remain unaffected.
Reciprocal Measures:
-
The restrictions follow Bangladesh’s April 2025 ban on importing yarns from India via land ports.
-
Previously, India had terminated a trans-shipment facility that allowed Bangladesh to export goods to other countries through Indian seaports and airports.
Trade Dynamics:
-
Bilateral Trade: In the fiscal year 2022-23, trade between India and Bangladesh amounted to approximately $16 billion, with Bangladesh importing goods worth about $14 billion and exporting around $2 billion to India.
-
Strategic Implications: Analysts suggest that India’s restrictions may be a response to Bangladesh’s growing economic ties with China.
-
