India punishes Bangladesh harder, Modi govt imposes land and sea port restrictions on…, to affect…

New Delhi: Weeks after imposing restrictions on apparel exports from Bangladesh, India has again issued an order restricting the import of Bangladeshi jute to India. The notification, issued on Friday by the Directorate General of Foreign Trade, states that jute from Bangladesh will not be allowed into India through any land or sea ports, except the Nhava Sheva seaport in Mumbai. As per official sources, the restriction on jute and other Bangladeshi fibre products has been implemented with immediate effect.

On May 17, New Delhi had imposed restrictions on the entry of Bangladeshi apparel through its land ports. Apart from apparel, other products from Bangladesh to Northeast India were also stopped through the land ports.

It is to be noted that the Indian jute industry has suffered for years as the entry of Bangladeshi jute to India is duty-free. Because of this the Indian jute industry suffered a lot.

Recent government actions are expected to boost India’s jute industry, benefiting both mills and farmers through increased market access and improved pricing. India’s substantial jute sector stands to gain significantly from this development.

Indian states such as West Bengal, Bihar, Assam, Odisha, Andhra Pradesh, Tripura, and Meghalaya produce jute. Jute industry give job to around four lakh workers in mills and other small units.

As per sources, the Indian government has been raising the issue regarding the import of jute to the Bangladeshi government but they however made nominal adjustment continued to export in certain cases of ‘value added jute products’.

What Products Are Banned?

The products banned by the Indian government include jute goods, hemp yarn, jute single yarn, twisted yarn, woven fabrics and unbleached jute fabrics. On May 17, India had also banned readymade clothes and processed food. These goods were also allowed to be brought only from certain ports.

What Message Did India Give To Bangladesh?

India’s significant jute industry faces potential challenges from inexpensive jute imports from Bangladesh. A ban on these imports could be a protective measure aimed at bolstering the Indian jute sector’s competitiveness. This action would likely negatively impact Bangladeshi jute exporters, particularly those reliant on land-based trade with India, resulting in decreased income and profitability.

India’s message is clear that it is committed to protecting and promoting its domestic jute industry, as lakhs of farmers and workers are directly or indirectly associated with the jute industry.

This ban also signifies that the Indian government expects more balance and fairness in trade with Bangladesh. This can also be a kind of ‘pressure’ so that Dhaka reconsiders its trade policies.

In recent times, there have been reports of tensions between India and Bangladesh over some diplomatic and political issues. India had earlier also banned the import of some other Bangladeshi goods, such as readymade garments and processed food items. Apart from this, some concerns have also been raised about the interim government of Bangladesh and its growing proximity to China. In such a situation, the ban on jute imports may be part of a broader diplomatic message, which is making Bangladesh aware of India’s concerns.

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