Bangladesh faces Rs 6,600 crore hit due to India’s curbs on trade

India’s decision to restrict imports from Bangladesh is expected to hit goods worth $770 million (Rs 6,600 crore) that flow in through the cross-border trade points with the neighbouring country.

“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,” said Ajay Srivastava, founder of think-tank Global Trade Research Initiative (GTRI).

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).

India’s Directorate General of Foreign Trade (DGFT) issued a notification imposing land port restrictions on the import of goods such as readymade garments, processed food items etc., from Bangladesh to India with immediate effect on Saturday.