Bangladesh imports ban to help MSMEs: Experts

Restrictions imposed by India on certain Bangladeshi goods will help the domestic ready-made garment industry, particularly Micro, Small, and Medium Enterprises (MSMEs), to enhance their competitiveness, according to experts.

- PRESS TRUST OF INDIA

Saturday, India restricted imports worth USD 770 million from Bangladesh, covering nearly 42 per cent of bilateral imports. Key goods like garments, processed foods, and plastic items are now limited to selected sea ports.

Ready-made garments, valued at USD 618 million, now face strict routing through only two Indian seaports. This severely limits Bangladesh’s most valuable export channel to India.

“Indian textile firms have long protested the competitive edge enjoyed by Bangladeshi exporters, who benefit from duty-free Chinese fabric imports and export subsidies, giving them a 10-15 per cent price advantage in the Indian market," think tank Global Trade Research Initiative (GTRI) said.

The port restrictions will help Indian MSMEs from the textiles sector, GTRI founder Ajay Srivastava said.