India scraps transshipment facility for Bangladeshi exports

India has terminated a transshipment facility that allowed Bangladeshi exports to transit through Indian land customs stations to ports and airports for third-country shipment, the government said in a circular issued on 8 April.

The transshipment facility, which was extended to Bangladesh in 2020, had, over time, led to congestion at “our airports and ports,” ministry of external affairs spokesperson Randhir Jaiswal said in a weekly briefing on Wednesday.

The facility allowed Bangladesh to export cargo to third countries by using Indian land customs stations en route to Indian ports and airports.

Goods already in transit under the arrangement will be permitted to exit Indian territory.

Bangladesh’s exports to Nepal and Bhutan, transiting through Indian territory, won’t be affected by the move, Jaiswal added.

India’s decision came against the backdrop of the recent controversial statement made by chief adviser Muhammad Yunus in China that India’s seven northeastern states, which share a nearly 1,600-km border with Bangladesh, are landlocked and have no way to reach the ocean except through his country.

“We closely follow all developments that impact our security and take action as appropriate,” Randhir said.

While responding to continued attacks on minorities in Bangladesh, Jaiswal said India has conveyed concerns regarding the treatment of minorities and the kind of violence that has happened against them.

“We have also highlighted … and we have been doing this in several of our conversations, including when we had the meeting in Bangkok, that this violence and atrocities against the minorities cannot be just wished away, or said that they are because of political reasons, or they are media accusations,” he said.

Responding to a media query on Yunus asking China to intervene in the Teesta water sharing, a bilateral agreement between India and Bangladesh, Jaiswal said 54 rivers are shared between India and Bangladesh.

“Now, to discuss all relevant issues, such as water issues, we have a bilateral mechanism called the Joint Rivers Commission,” he pointed out, adding that India is ready to discuss all issues, provided that these issues are mutually agreed upon and the overall environment is conducive.