Dhaka Urges New Delhi to Preserve Tariff Preferences and Ease Cross-Border Trade Restrictions

Bangladesh has called on India to maintain preferential tariff treatment for its exports after the country graduates from least-developed-country status and to remove several long-standing barriers that currently limit bilateral trade. The requests were presented at the 16th meeting of the Bangladesh-India Joint Working Group on Trade, which opened in New Delhi on 8 October after a multi-year pause.

The two-day talks focused on practical obstacles to goods movement between the neighbours. On the Bangladeshi side, a ten-member delegation led by Additional Secretary Ayesha Akhter of the Ministry of Commerce stressed the need to retain the duty-free or preferential access that Bangladeshi products currently enjoy under the South Asian Free Trade Area agreement once LDC graduation takes effect. Officials argued that an abrupt loss of these preferences could sharply reduce the competitiveness of Bangladeshi exports in the Indian market.

In addition to tariff treatment, the delegation pressed for the lifting of restrictions that apply at Indian land ports. These curbs have affected shipments of several product categories, including ready-made garments, processed foods, plastics, wooden furniture and cotton waste. Bangladesh also asked India to reconsider anti-dumping duties imposed on jute goods and polyethylene terephthalate film, measures that exporters say raise costs and limit market access.

Beyond tariffs and duties, the Bangladeshi side highlighted non-tariff issues. It called for closer alignment of product standards, mutual recognition arrangements, and simpler procedures for obtaining certification from the Bureau of Indian Standards. Improving physical infrastructure at Indian land customs stations—access roads, parking areas, warehouses, sheds, and inspection facilities—was listed as another priority, along with faster cargo clearance and higher capacity at border points. Bangladesh further sought expanded rights for its freight trucks to transit Indian territory when carrying goods to Nepal and Bhutan.

India, for its part, raised its own concerns. These included the reopening of border haats, better rail connectivity, removal of high tariffs on certain Indian imports, and freer movement of yarn and other products through land routes. Both sides also discussed ways to strengthen regional freight corridors, including the Akhaura-Agartala link, and to resolve practical difficulties at border markets.

Because the meeting was held at the joint-secretary level, it was not expected to produce binding decisions. Participants described the session as an opportunity to restart structured dialogue and to prepare the ground for higher-level talks that could address the same issues. The resumption of the joint working group after a long interval reflects an effort by both governments to keep trade channels open even while broader political and economic relations remain complex. Whether the points raised in New Delhi translate into concrete changes in tariffs, port rules or certification procedures will depend on subsequent negotiations. For Bangladeshi exporters, the outcome carries particular weight as the country approaches LDC graduation and seeks to protect existing market access in one of its largest neighbouring economies.