India has announced significant import route restrictions on goods from Bangladesh, targeting ready-made garments, plastic goods, processed foods, furniture, and other items, following similar restrictions recently imposed by Bangladesh on Indian products.
As per a new Directorate General of Foreign Trade (DGFT) notification issued on Saturday, the import of Bangladeshi ready-made garments and other goods will no longer be permitted via land routes through the northeastern states of Assam, Meghalaya, Tripura, and Mizoram. Instead, such imports will be limited to arriving only through Kolkata and Nausheva ports.
The restricted list includes:
-
Ready-made garments
-
Plastics and melamine products
-
Furniture
-
Juices and bakery/confectionery items
-
Other processed food products
However, the new restrictions do not apply to goods transiting through India that are meant for Nepal and Bhutan, and some essential items—such as fish, LPG, edible oil, and crushed stone—are exempt from the port restrictions.
Reason Behind the Move
Government sources said India’s action was reciprocal—a response to Bangladesh’s recent increase in scrutiny and limitation of Indian imports through land check posts.
93% of Bangladesh’s $700 million annual ready-made garment exports to India had been routed through these land ports, underscoring the move’s potential economic impact. Ready-made garments account for 85% of Bangladesh’s exports to India.
Additionally, on April 9, India revoked Bangladesh’s transshipment facility that allowed it to export goods to the Middle East and Europe via Indian territory (excluding Nepal and Bhutan). This move was prompted by a controversial statement by Bangladeshi government advisor Muhammad Yunus, who claimed that India’s northeastern states are landlocked and can only access the sea via Bangladesh. This remark was widely condemned by Indian political parties, government officials, and trade associations.
Deteriorating Bilateral Ties
The trade action comes amid strained diplomatic relations between the two nations:
-
The situation worsened after Sheikh Hasina’s ouster as Prime Minister of Bangladesh.
-
There has been an uptick in violence against Hindu minorities in Bangladesh.
-
Yunus’s statements further strained ties, prompting strong backlash in India.
In sum, India’s latest import policy revision is a strong diplomatic and economic signal, reflecting the current tensions in India-Bangladesh relations.
