The sudden resignation of Bangladesh Prime Minister Sheikh Hasina and her subsequent flight to Bharat has caused a significant disruption in trade with Bangladesh. Hasina, who began her fifth term earlier this year, departed Dhaka under military escort.
This unexpected exit has severely impacted the cross-border trade, which had seen substantial growth during her tenure. At the Changrabandha border check post in West Bengal’s Cooch Behar district, the flow of goods between the two nations has nearly halted.
Federation of Indian Export Organisations or FIEO Director-General Ajay Sahai reported that approximately $300 million worth of export trade has been affected by the political turmoil. “We export about $30 million to Bangladesh daily,” mentioned Sahai.
Bangladesh, Bharat’s largest trade partner in the subcontinent, is now facing a major slowdown in its economic interactions with Bharat. Dhaka ranks as Bharat’s fourth-largest export destination, while Bharat is Bangladesh’s second-largest partner in Asia after China.
“Exports have come to a standstill. Numerous trucks are stranded, and even visa-holding travelers are seeing reduced movement,” said Indian exporter Dhiraj Guha.
The ongoing crisis may also jeopardise a potential free trade agreement that began negotiations in October of the previous year. Local businesses in Indian States bordering Bangladesh are experiencing severe declines, with shopkeepers, transporters, and money changers reporting up to an 80 per cent drop in their business activities.
Sanjay Das, an auto rickshaw driver at the Petrapole border check post in West Bengal, expressed frustration, “The number of passengers has plummeted, and we are struggling to find any work.”
Similarly, the Akhurah-Agartala border check post in Tripura, a key trade hub, has seen a drastic reduction in trade volumes. Titan Das, a goods handler, noted, “We previously received 15 trucks of fish daily, along with about 35 trucks of other items. Today, only one truck of fish and two trucks of other goods have crossed, causing significant financial strain.”
Despite the current turmoil, Tripura Chief Minister Manik Saha remains hopeful that the situation may improve soon.
