Inter-ministerial meet today on Indian curbs

The commerce ministry has convened an inter-ministerial meeting today to work out ways to address India's restrictions on imports from Bangladesh through land ports.

Speaking to this correspondent over the phone yesterday, Md Abdur Rahim Khan, additional secretary (export) at the commerce ministry, said the government would take a decision in consultation with senior officials of the relevant ministries and departments on how to respond to the curbs on Indian port use for the shipment of Bangladeshi goods.

Meanwhile, Bangladeshi exporters remain anxious as goods-laden vehicles are still stranded at various land ports along the border.

Humayun Rashid, chairman of Energypac Fashions Ltd, said three trucks carrying garments for India have been waiting to be unloaded at Benapole land port since Saturday, when the restrictions were imposed.

"We are expecting a positive outcome within the next day or two, as my Indian importer has been working seriously to release the goods from the port," he said, adding that he will decide on upcoming consignments to India in consultation with the importer.

Energypac Fashions Ltd has three containers of garments items -- shipped two days ago -- now stuck at Benapole. The combined value of the goods in the three containers is over $300,000, he said.

Rashid, who has been exporting to India for over seven years, said nearly 10 percent of his factory's products are meant for the Indian market. He now fears further disruptions to shipments bound for Nepal via Indian land ports and hopes for an amicable solution.

Kabir Ahmed, president of the Bangladesh Freight Forwarders Association, said exports to India would initially face disruption due to the restrictions, but trade flows would eventually shift to air and sea routes.

However, he warned that transport costs could rise by at least 20 percent due to the rerouting of shipments, and that trade through informal channels would inevitably decline.

"It is difficult, but we can overcome these challenges," he said.

In Jashore, exports through Benapole land port have also come to a halt following the restrictions. The land port is one of the country's largest and is dedicated entirely to exports.

"Normally, around 200–300 goods-laden trucks would cross the border daily," said Mamun Tarafder, deputy director of the port. "But only 151 trucks passed through the port on Monday [till 5:30pm]."

He added that the 36 trucks stranded at the port till yesterday had to leave the premises after failing to cross the border.

During a visit to the port yesterday, trading activities were seen subdued. Customs stations, clearing and forwarding (C&F) agents, and transport workers had little to do, while many traders expressed concerns over the future of their businesses.

"If this situation continues, our entire export chain will collapse," warned Emdadul Haque Lota, general secretary of the C&F Agents Association.

In Brahmanbaria, trade through Akhaura land port has also slowed significantly. No products listed under India's new import restrictions have been exported in the past two days, according to port officials.

"Normally, goods worth about Tk 1.5 crore are exported daily through the port," said Md Mahmudul Hasan, assistant director (traffic) at Akhaura Land Port. "But over the past two days, that figure has almost halved."

Nisar Uddin Bhuiyan, vice-president of the Akhaura C&F Agents Association, said, "The Indian government's restrictions will significantly reduce our export volume. Our export basket is already very limited."

In Sylhet, exports through Sheola Land Port have been halted since Sunday. Three truckloads of processed foods have been waiting at the port since then, said Mohammad Milon Uddin, assistant revenue officer at the customs office there.

He added that several other cargo-laden trucks had to turn back midway upon learning that their goods could not be exported.

Md Rony Ahmed, a C&F agent, said Akhaura port is commonly used to export processed foods, fruits, drinks, certain readymade garments, plastic products, and other goods.

"Many factories have been set up in Sylhet to produce these export-oriented goods," he said. "Now, if this situation continues, businessmen will face huge financial losses."

In Lalmonirhat, around 80 goods-laden trucks were reported stranded since Sunday morning at Burimari land port, said Mehedi Hasan, assistant director of the port.

(Our correspondents from Benapole, Sylhet, Lalmonirhat and Brahmanbaria contributed to the report)