Bangladesh would be severely affected if trade with India is suspended

25-Dec-2025 03:40 PM

New Delhi. Given the atrocities against minorities and the deteriorating law and order situation in Bangladesh, some exporters are emphasizing the need to stop rice exports to the country, while some organizations are demanding a complete severance of trade relations.

India exports not only rice but also several other food and agricultural products to Bangladesh on a large scale. Currently, tensions between the two countries have escalated significantly.

The Bangladesh government has approved the purchase of 50,000 tons of Indian rice. Its finance advisor says that economic interests are being kept separate from politics.

If Indian rice is cheaper than rice from any other supplier country, then it is better to buy it. Indian rice is currently about 2-10 Taka per kg cheaper in Bangladesh.

If bilateral trade between India and Bangladesh is suspended, India would face fewer difficulties, while Bangladesh would suffer significantly.

Relations between the two countries are currently at their lowest point, but the Bangladeshi finance advisor says that the relationship has not deteriorated to the point where bilateral trade needs to be stopped. Bangladesh wants to maintain economic and trade relations with India.

Some Indian exporters are demanding a halt to rice exports to Bangladesh due to the perceived risk or threat there.

Other exporters are being advised to offer higher prices for rice exports to Bangladesh. This would force Bangladesh to buy more expensive rice from other countries.

Besides rice, India exports several other products to Bangladesh, including maize, spices, soybeans, and sugar. Wheat was also exported earlier, but it is no longer being sent because the Indian government has imposed a ban on wheat exports.

94 percent of India's exports to Bangladesh are transported via road, which reduces costs and saves time.

India also exports potatoes, onions, garlic, fruits, vegetables, and medicines to Bangladesh. Bangladesh's textile industry is heavily dependent on Indian cotton.