India export ban turns Bangladesh land ports 'unprofitable and inactive', to be shut

Bangladesh has decided to close the shutters of three land ports after a committee found them to be “inactive and unprofitable” due to a lack of trade, months after India banned exports to the country via land routes.

Along with the closures of Chilahati Land Port in Nilphamari, Daulatganj Land Port in Chuadanga, and Tegamukh Land Port in Rangamati (Demagri in Mizoram), operations at the Balla Land Port in Habiganj will also be suspended.

The decision was approved in principle during a meeting of the council of advisers, chaired by Chief Adviser Yunus. According to the government, the move is intended to cut spending and ease the financial burden on taxpayers.

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Yunus’ press secretary, Shafiqul Alam, said, “Politicians from border areas sometimes secured approval for these ports based on political considerations. But in reality, there has been little to no trade activity through them. This imposes unnecessary costs on the govt.”

On November 6 last year, the shipping ministry formed a six-member committee made up of representatives from the ministries of shipping, finance, and road transport and bridges, as well as the National Board of Revenue (NBR) and the Bangladesh Land Port Authority. The committee was tasked with assessing the operational status and economic viability of eight land ports, including Nakugaon, Gobrakura-Karaitali, Dhanua Kamalpur, and Birol.

Regarding Balla Land Port, the committee noted that a lack of infrastructure and road connectivity on the Indian side rendered cross-border trade impractical. This absence of essential facilities significantly hindered the port’s operational potential.

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In April, India suspended the transhipment facility for the country’s export cargo.

In a circular issued by the Central Board of Indirect Taxes and Customs (CBIC), the transhipment facility, which was opened in 2020 to facilitate the export of cargo from Bangladesh to third countries via the Indian Land Customs Stations en route to Indian ports and airports, was terminated with immediate effect.