"India's statement on the cancellation of Bangladesh's transshipment facilities."

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"India's statement on the cancellation of Bangladesh's transshipment facilities."

Published : Wednesday, 9 April, 2025 at 9:32 PM, Count : 475

India has withdrawn the long-standing transit facility provided to Bangladesh for sending goods to third countries. The country's Central Board of Indirect Taxes and Customs (CBIC) issued a circular canceling the transshipment facility. As a result, an effective route for Bangladesh to conduct trade quickly and at low cost with Bhutan, Nepal, and Myanmar has been closed.

On Wednesday (April 9), The Telegraph Online reported this information citing PTI.

India has also shared its reasons and response regarding this decision. Indian Ministry of External Affairs spokesperson, Randhir Jayswal, stated that the transshipment facility provided to Bangladesh had led to significant traffic congestion at our airports and ports for a long period. Logistic delays and high costs were obstructing our own exports and causing hold-ups. Therefore, this facility has been withdrawn.

He further clarified that the decision would not impact the export of Bangladesh's goods to Nepal or Bhutan via Indian territory.

In a notification issued on April 8 by India's Central Board of Indirect Taxes and Customs, it was stated that the circular issued on June 29, 2020, has been canceled, and the revised decision will take effect immediately. However, Bangladesh cargo that has already entered India under the previous circular may be allowed to leave Indian territory.

Earlier, Indian exporters, particularly in the garment sector, had urged the Narendra Modi-led government to withdraw this facility granted to neighboring Bangladesh.

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