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India-Bangladesh trade faces shake-up amid port restrictions

23 May '25
6 min read
India-Bangladesh trade faces shake-up amid port restrictions
India-Bangladesh trade faces shake-up amid port restrictions

Insights

  • India's new port restrictions on select imports from Bangladesh, including garments, threaten to disrupt bilateral textile trade worth $*.*** billion.
  • With **% of Bangladeshi RMG exports routed via Petrapole land port, rerouting to only Kolkata and Nhava Sheva seaports raises transit costs, delays and supply chain risks.
  • The move could strain diplomatic ties and open trade opportunities for others.

Fibre2Fashion analyses the economic, logistical, and geopolitical impacts of this directive, especially concerning the textile trade between India and Bangladesh. With the Petrapole land port—previously handling over ** per cent of Bangladesh’s garment exports to India—rendered inaccessible, this policy shift has the potential to disrupt established trade flows, increase costs, and strain bilateral relations.

Policy overview

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