Bangladesh will discuss with India to resolve trade problems, says Muhammad Yunus’s Adviser

DHAKA: After India placed curbs on Bangladeshi exports via land ports, the interim government in the country says it wants to resolve all trade problems with India. An Adviser to the Interim government of Bangladesh led by Nobel Laureate Muhammad Yunus, said that Bangaldesh wants to discuss all issues with India.

Recently, India had banned the import of Ready Made Garments (RMG), Fruit/Fruit flavoured and carbonated drinks, baked goods, snacks, chips and confectionary, cotton and cotton yarn waste, plastic and PVC finished goods and wooden furniture from Bangladesh by road.

Earlier, Bangladesh had banned the import of yarn from India by land route. India had also cancelled the trans-shipment facility for the export of goods from Bangladesh to third countries. Thus, reciprocal trade restrictions are being imposed between the two neighbouring countries.

“We do not know anything officially about India’s steps yet. We will be able to take action after we know officially. If any problems arise, both sides will discuss and try to resolve them”, Sheikh Bashiruddin, Commerce Adviser of Bangladesh interim government, told the reporters, about the latest restrictions imposed by India.

“We have learned from social media and news that they (India) have taken some decisions regarding land ports, especially Akhaura and Dawki ports, and some border areas. Our main goal is to achieve competitiveness. This is a profitable matter for both countries”, he added.

“We think that India itself is a rich country in the textile or clothing industry. Even then, when these products are exported from our country, it is based on our capabilities. We are not affected by trans-shipment. We have solved this problem on our own using our capabilities”, the Adviser said.

“Since we are a geographically connected country, our competitiveness, transportation costs and other factors are fixed. In this regard, we impose restrictions on the import of our agricultural products at different times, India also does. This is a process of trade management and we are working on that. If a problem arise or develops there, both parties will discuss and try to resolve it”, Bashiruddin said.

“I believe in liberal trade. Trade is important to me. I see no other path than trade inclusion to empower the business and consumers of my country”, he said.

Earlier on Saturday, the Ministry of Commerce and Industry imposed immediate land port restrictions on the import of several categories of goods from Bangladesh, following a directive issued by the Directorate General of Foreign Trade (DGFT).

According to the Global Trade Research Initiative (GTRI), India’s restrictions on imports from Bangladesh via land ports will impact goods worth USD 770 million, accounting for nearly 42 per cent of total bilateral imports.

The move limits the entry of products such as ready-made garments and processed foods to specific seaports, an official press release by the Ministry stated and is widely viewed as a response to Bangladesh’s recent curbs on Indian yarn, rice, and other goods, along with its decision to impose a transit fee on Indian cargo, marking a shift from previously cooperative trade relations.

Under the new directive, all kinds of ready-made garments from Bangladesh can now only be imported through Nhava Sheva and Kolkata seaports, with entry through land ports no longer permitted. (ANI)