The Government of Bangladesh has been urged by the Bangladesh Knitwear Manufacturers and Exporters Association (BKMEA) to immediately engage in diplomatic relations with India in order to halt the country’s land port embargo on Bangladeshi exports for a minimum of three months. The appeal was made through a letter sent to Commerce Secretary Mahbubur Rahman on 21st May.
In the letter, BKMEA President Mohammad Hatem emphasised the importance of land ports in bilateral trade, noting that approximately 80 per cent of Bangladesh’s exports to India pass through these points. He highlighted that in the past ten months alone, goods worth Taka 12,811 crore were exported via Benapole land port, with ready-made garments (RMG) accounting for Taka 8,000 crore.
Hatem urged the Government to ensure that shipments already in transit are exempted from the restrictions, which have caused significant disruptions.
On 17th May, the Directorate General of Foreign Trade in India issued an order prohibiting the importation of all RMG and six other categories of commodities from Bangladesh via land ports. However, seaports like Kolkata and Mumbai’s Nhava Sheva still allow these commodities to enter India. The sudden ban has led to many consignments being returned at land borders, causing concerns among exporters over pending shipments, pricing, and delivery timelines.
In response, the government of Bangladesh called emergency meetings. The Export Promotion Bureau conducted one on 18th May and the Commerce Ministry chaired another on 20th May. In order to settle the situation, stakeholders at both meetings encouraged diplomatic involvement.
Commerce Secretary Mahbubur Rahman stated that Bangladesh would not adopt retaliatory measures and that a proposal had already been sent to the India-Bangladesh Joint Secretary-level forum to address the matter through dialogue.
Given the large number of letters of credit (LCs) that have been opened and the potential for cancellations and financial losses, the BKMEA cautioned that the limits pose a threat to bilateral trade and economic relations. The association emphasised the urgent need for diplomatic efforts to mitigate the impact on Bangladeshi exporters and maintain robust trade relations with India.
