India-Bangladesh trade through Benapole land port falls

Exports and imports dropped at the Benapole land port in Jashore following the changed political situation, affecting the India-Bangladesh trade. As a result, revenue collection also fell.

According to the port sources, the import of products fell by 200,000 tonnes over the past one and a half months, compared to the corresponding period of the last month. Export also decreased by 10,000 tonnes and vehicle chassis by 130 during this period.

Importers said a changed political situation and a dollar crisis in banks are affecting imports and exports. Since the opening of a letter of credit (LC) requires full payment in advance for certain products, traders decreased the import of goods.

Sources at the Benapole land port said 205,000 tonnes of goods and 781 vehicle chasses were imported and 65,527 tonnes of goods were exported between 5 August and 19 September, while 395,000 tonnes of goods and 911 vehicle chassis were imported and 9,122 tonnes of goods were exported in the corresponding period of the previous year.

Mahindra & Mahindra Limited imports vehicle chassis from India. Mahindra & Mahindra sales manager (Bangladesh regional office) Sakib Ul Islam told Prothom Alo dollar is not available at banks as per the demand to open LCs to import goods. That is why they could not open adequate LCs. Previously, bank assistance on import payment for six months was available during the opening of LC, but LC opening requires import payment in full. As a result, the opening of LC for import dropped, he added.

Traders who import and export through Benapole said the Benapole land port does not run import-export operations round the clock throughout the week despite a government announcement regarding 24-hour operation in port. The land port and the customs operation remain open from 10:00 am to 6:00 pm in five days a week. Trade between Benapole and Petrapole ports stops after 6:00 pm. Traders think this is a major reason behind the fall in the government’s revenue collection from import and export.

Regarding this, Benapole Custom House commissioner Md Kamruzzaman said, “I came here new and I also heard trade does not happen after 6:00 pm here.”