I note with concern that restrictions have been imposed on the import of various consumer goods through land ports in mainland India and its northeastern states. These restrictions cover fruit juices, processed food products, plastic goods, and ready-made garments (RMG).
Such non-tariff barriers would create significant complications for Bangladeshi exporters and, I believe, will hinder the growth of both bilateral and regional trade.
While regulatory oversight is the sovereign right of a nation, this kind of sudden restriction on some selective ports raises trade costs through land routes and creates uncertainty. Such decisions are detrimental particularly to small and medium enterprises.
The northeastern region of India is a natural and important market for Bangladeshi products, and restricting access there will curtail efficiency as well as competitiveness of businesses dependent on border trades.
Especially, there will be delay and extra costs for exporting RMG products, as it, which is a key sector in Bangladesh, has been restricted to Kolkata and Nhava Sheva. It will undermine the potential of mutually beneficial trade and strain the supply chain that developed throughout years.
I hope these non-tariff barriers will be reconsidered in the spirit of bilateral and regional cooperation. Constructive dialogue and stronger coordination in trade facilitation will play a conducive role in promoting smooth, inclusive, and sustainable economic growth in both countries.
***The author is the executive director of South Asian Network on Economic Modelling (SANEM).