Before India terminated the transshipment facility for Bangladesh’s export cargo, trucks and consignments saw a sharp uptick at Petrapole, the nation’s largest land port, data shows.
New Delhi halted transshipment facilities for the neighbouring country on April 8, days after Bangladesh Chief Adviser Muhammad Yunus advocated the extension of the Chinese economy around the strategically important Northeast India region.
India first allowed transshipment of export cargo from Bangladesh to third countries using Indian Land Customs Stations and subsequently Indian ports and airports on June 29, 2020.
According to sources in the Petrapole Land Port’s customs department, in the financial year 2023-24, 3,373 trucks with transshipment commodities or export cargo entered Petrapole from Bangladesh, with 4,733 consignments valued at `2,357.27 crore.
In FY 2024-2025, 4,686 trucks (a 39% increase) with transshipment commodities entered Petrapole with 7,772 consignments valued at `3,446.66 crore.
“The facility was extended by our country to Bangladesh in 2020, but it saw little response that year and in 2021 and 2022. In 2023, though, transshipment consignments arrived in good numbers, and there was a sharp increase thereon. Primarily, ready-made garments come to us as commodities and are then flown to European countries like Spain. The rush of consignments is seen before the European festive season, including Christmas,” said a senior Customs official at Petrapole.
Officials explained that trucks from Bangladesh first carry the consignments to Petrapole, where they are checked by land port and customs authorities. Indian trucks then take them to Kolkata or Delhi airports.
“Every day, 150-200 trucks enter from Bangladesh, of which around 15-20 carry transshipment commodities. From India, around 400 trucks go to the Bangladesh side. Ever since we received the notification, no transshipment consignments are being allowed. However, normal import-export truck movement as well as passenger movement between the two countries continues,” said Kartik Chakraborty, secretary, Petrapole Clearing Agents’ Staff Welfare Association.
“Four trucks stationed on the Bangladesh side (Benapole land port) returned to the country yesterday. Most transshipment consignments from Petrapole used to go to Kolkata airport and then to foreign countries, either directly or via Delhi airport. This is bad news for exporters of Bangladesh, mainly garment exporters. It was cheaper and easier to send through India. Indian truck owners that used to carry the consignments from Petrapole to Kolkata or Delhi airports will suffer losses too. So will labourers who unload and load the consignments in Petrapole,” Sajedur Rehman, secretary of the Clearing Agents Staff Association in Benapole, Bangladesh, told The Indian Express over the phone.
The largest land port in South Asia, Petrapole is situated on the Indo-Bangladesh border, about 80 kilometres from Kolkata. In 2023-2024, it recorded trade worth `30,42,092 crore and the movement of 23,48,707 people between the two countries.