Indian Exporters Concerned Over Bangladesh Crisis Impact on Bilateral Trade

Indian exporters voiced concerns over the ongoing crisis in Bangladesh, which has disrupted bilateral trade due to foreign exchange shortages and political turmoil. The resignation of Prime Minister Sheikh Hasina and ensuing demonstrations have exacerbated challenges. Industry leaders emphasize the need for proactive measures and regional cooperation to mitigate impacts.

Indian exporters expressed serious concerns on Monday regarding the crisis in Bangladesh, citing possible repercussions on bilateral trade. The situation in the neighbouring country, marred by fierce demonstrations and political changes, has already caused disruptions due to a shortage of foreign exchange.

Prime Minister Sheikh Hasina's resignation and the appointment of an interim government have amplified existing issues, particularly affecting exports of perishable goods at the border. The controversy surrounding Bangladesh's quota system, which reserves a significant portion of jobs for veterans' families, has led to deadly protests, resulting in over 100 fatalities.

Experts and industry leaders, including FIEO Director General Ajay Sahai and PATTON's Sanjay Budhia, stress the importance of maintaining regional cooperation and specifically addressing logistical disruptions to preserve economic stability. They emphasize that while the crisis poses several risks, strategic measures could mitigate its impact on India's long-term trade objectives.

(With inputs from agencies.)