How India delivered Bangladesh a huge blow by banning jute imports via land route

Bangladesh's exporters have complained about India's decision to ban the import of certain jute products and woven fabrics via land route, stating they are the "victims of politics".

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The products that face the ban include jute products, flax tow and waste, jute and other bast fibres, single and multiple jute yarns, woven fabrics of flax and unbleached woven fabrics of jute. The import of these items will now be permitted only via the Nhava Sheva seaport in Maharashtra.

The ban has come as a huge blow to Bangladesh's exporters as only one percent of the total exports of these products are currently being carried out by sea route, according to Dhaka-based Prothom Alo. Shipping them to India via sea route means a huge spike in cost besides losing the dominance in the jute sector and overall to the economy.

As per figures, the banned nine products exported to India were worth $150 million and 23 percent of the total exports. India is the second top export destination after Turkey, according to the National Board of Revenue. Bangladesh exports around 13 lakh bales of raw jute, and India accounts for most of the shipment, reports added. The decision will also affect 117 exporters who shipped goods via land routes.