India-Bangladesh News / India's attack on Bangladesh... Trans-shipment facility put on hold

India withdrew the trans-shipment facility given to Bangladesh from 8 April. This decision was taken after the outcry of Bangladesh chief Mohammad Yunus. This was leading to increased congestion and cost at Indian ports, which was hurting Indian trade.

India-Bangladesh News: After the controversial statement made by Bangladesh leader Mohammad Yunus regarding India's northeastern states and the Bay of Bengal, India has taken a tough step and canceled the trans-shipment facility being given to Bangladesh. This decision has come into effect from April 8 and it is being considered a clear expression of India's diplomatic firmness and trade priorities.

What was this trans-shipment facility?

Trans-shipment is an arrangement in which one country allows another country to temporarily use its port or airport so that it can send its goods to a third country. India had given this facility to Bangladesh under humanitarian and trade cooperation, so that it could transport its goods to countries like America, Europe, Africa using Indian ports and airports like Kolkata, Mumbai, Chennai.

The purpose of this arrangement was to help Bangladesh with its limited logistics capabilities, especially when its ports and container system are not fully developed.

Reasons behind India's decision

The Ministry of External Affairs (MEA) has clarified that the facility had made India's own ports and airports extremely busy. Due to this, Indian exporters were facing difficulties in transporting their goods on time. The main arguments are as follows:

Extreme increase in traffic: Bangladeshi trans-shipment increased pressure on Indian ports.

Increase in logistics cost: The additional traffic made freight costlier, causing losses to Indian exporters.

Backlog and delay in delivery: Due to lack of timely delivery, international orders of Indian companies started getting affected.

Is this decision applicable to Bangladesh as a whole?

No. India has clarified that this ban will apply only to those Bangladeshi cargo which was being sent to third countries through Indian ports or airports. This ban will not apply to goods being sent from Bangladesh to Nepal and Bhutan, which pass through Indian territory.

Impact on Bangladesh

With this decision, Bangladesh will now have to completely depend on Chittagong and Mongla ports for its shipments. This will not only increase logistics costs but may also delay deliveries. Small and medium exporters, who were earlier taking advantage of Indian infrastructure, will have to bear the brunt of this.

Relief to Indian trade

This decision is being considered a concrete step towards the 'India First' policy. This will not only facilitate timely shipments to Indian exporters, but will also reduce the pressure on the country's own ports and airports.

Direct message to 'loudmouth' Yunus

India was not happy with the statement given by Mohammad Yunus in China recently, in which he described the Bay of Bengal as 'its territory'. This decision is a kind of 'diplomatic answer' which makes it clear that India's participation and consent is essential for trade success through the Indian Ocean.