Bangladesh restricts import of yarn from India by land 

Bangladesh has banned the import of yarn from India through its land ports through an order on 13 April.

India exported $ 1.6 billion cotton yarn in 2024 and exported manhead fiber (MMF) yarn with a price of about $ 85 million. The adequate amount of yarn goes through the land.

On 25 April, India canceled its 2020 order, citing crowds at its ports, allowing third countries to transfer goods through their land customs stations through their land customs stations.

According to Siddharth Rajagopal, Executive Director of Cotton Textiles Export Promotion Council, 32 % of the land exported to Bangladesh is near the land. The restrictions imposed on the export of cotton yarn are a matter of deep concern, ”he said.

Textile mills in the north, especially small and medium -scale units, prefer to ship by land as it is cost effective. Now they have to be exported through Mundra, Thatukudi, or Nava Sheva ports and this will cost high cost. Readmade apparel exporters in Bangladesh who are using imported yarn from India will also have to pay a higher price due to increase in logistics costs and face delays.

Rakesh Mehra, president of the Confederation of the Indian textile industry, said that Bangladesh gave the account of more than 45% cotton yarn exports from India. The recent suspension of cotton yarn from India by the National Board of Revenue of Bangladesh will have a serious impact on India’s cotton yarn exports.

Trade figures suggest that Bangladesh has been the fastest growing market for India’s cotton yarn over the last five years, growing at a mixed annual growth rate (CAGR) during the last five years. “As India is also a big market for Bangladesh’s apparel industry, we are expecting an initial solution to the issue,” he said.