India imposes new restrictions on importing jute products from Bangladesh

India has once again imposed restrictions on imports from Bangladesh. Under the new order, Indian traders can no longer import four types of jute products from Bangladesh via land ports.

Such products may now only be imported through the country’s Nhava Sheva Port in Mumbai.

The Directorate General of Foreign Trade (DGFT) under India’s Ministry of Commerce and Industry issued the notification today, Monday.

According to the directive, the four products subject to the new restrictions are: jute and jute-based fabric, jute rope or cordage, rope or cordage made from jute-based products, and jute sacks or bags.

The order states that the decision takes immediate effect.

As a result of the new restriction order, those goods must now be shipped to India by sea through Nhava Sheva Port in Mumbai.

Industry sources say that only about 1 per cent of Bangladesh’s exports of these products to India currently use the sea route; the rest go by land. The restriction, therefore, effectively shuts off the most accessible export route for those goods.

Speaking to Prothom Alo, Tapas Pramanik, president of the Bangladesh Jute Spinners Association (BJSA), said, “It is like watching one lamp after another go out. India is taking one step after another that harms Bangladesh. We have told the government before, and will tell them again, to initiate bilateral talks over these restrictions.”

When asked whether India would sit with Bangladesh for discussions, the BJSA president said, “If Trump can sit with Putin, why can’t India sit with Bangladesh? At the same time, Bangladeshi businesses should seek alternative markets for jute exports.”

Earlier, on 27 June, the DGFT issued another notification imposing restrictions on imports of several products from Bangladesh through land ports, including raw jute, jute rolls, jute yarn, and certain types of specialised fabric. The latest measure now adds four more products to that list.

In recent months, India has imposed several rounds of non-tariff barriers on Bangladeshi goods.

On 17 May, it restricted imports through land ports of items such as garments made in India, processed foods, plastics, wooden furniture, yarn and yarn by-products, fruits and fruit-flavoured drinks, and soft drinks.

Before that, on 9 April, it withdrew permission for Bangladesh to use Kolkata Airport as a transit point for exporting goods to other countries.

According to the Export Promotion Bureau (EPB) of Bangladesh, in the 2023–24 fiscal year, Bangladesh exported goods worth USD 1.57 billion to India, accounting for 3.75 per cent of its total export earnings.

In contrast, Bangladesh imported goods worth USD 9 billion from India, most of this is raw materials and intermediate products for industry. Bangladesh is also a major market for Indian consumer goods.