Latest news with #DirectorateGeneralofForeignTrade
New Indian Express
11 hours ago
- Business
- New Indian Express
India imposes restrictions on jute imports from Bangladesh amid trade concerns
NEW DELHI: India has imposed immediate restrictions on the import of jute and allied fibre products from Bangladesh, in a move reflecting growing tensions in bilateral trade relations. The new measures apply to all land and seaports across the country, with the sole exception of the Nhava Sheva seaport in Maharashtra, according to a notification from the Directorate General of Foreign Trade (DGFT). The restrictions, however, will not apply to goods exported by Bangladesh to Nepal and Bhutan. At the same time, the re-export of such Bangladeshi goods from Nepal or Bhutan into India 'will not be allowed,' the notification clarified. Under the South Asian Free Trade Area (SAFTA) agreement, Bangladesh's jute exports currently enjoy duty-free access to the Indian market. However, the Indian jute industry has long raised concerns over the adverse impact of dumped and subsidised imports, particularly of jute yarn, fibre, woven fabrics, and bags originating from Bangladesh. 'This has placed the Indian industry at a disadvantage, as there is credible evidence that Bangladeshi jute exports continue to benefit from government subsidies,' a source familiar with the matter said.
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Business Standard
13 hours ago
- Business
- Business Standard
India curbs jute imports from Bangladesh to protect domestic industry
India has announced new restrictions on the import of jute and related fibre products from Bangladesh, effective immediately. The latest move comes at a time when tensions between the two neighbouring countries are rising. The restrictions will apply to all land and seaports except the Nhava Sheva seaport in Maharashtra, according to a report by the Press Trust of India. The Directorate General of Foreign Trade (DGFT), under the Commerce Ministry, issued a notification on Friday confirming the restrictions. Jute imports have hurt Indian industry Under the South Asian Free Trade Area (SAFTA) agreement, jute products from Bangladesh currently enjoy duty-free access to India. However, the Indian jute industry has reportedly suffered for years due to low-priced and subsidised imports, particularly of yarn, fibre, and bags from Bangladesh. "There is credible evidence that Bangladeshi jute exports continue to benefit from state subsidies extended by the government of Bangladesh," said one of the people quoted in the PTI report. Anti-dumping measures haven't worked In response to the issue, the Directorate General of Anti-Dumping and Allied Duties (DGAD) previously carried out investigations and imposed anti-dumping duties on jute and related products from Bangladesh. However, sources told PTI said the duties have not led to a significant decline in imports. Malpractices by some Bangladeshi exporters, they added, include mislabelling, misuse of technical exemptions, exporting through firms exempted from anti-dumping duties, and "misdeclaration" to claim higher subsidies. Earlier in May, the Indian government imposed new port restrictions on the import of a range of goods from Bangladesh. The move, widely seen as a retaliatory measure, followed Dhaka's decision to close its land ports to Indian yarn exports. The Directorate General of Foreign Trade on May 17 issued a notification detailing the restrictions. It restricted the import of goods such as readymade garments, processed food items, carbonated drinks, plastic goods, and wooden furniture. Self-reliance and rural jobs a priority The Indian government said the new restrictions aim to tackle unfair trade practices, support the 'Atmanirbhar Bharat' (self-reliant India) initiative, and protect livelihoods in the rural jute sector. "To safeguard the interests of the domestic jute industry and to counter the unfair trade practices employed by the Bangladesh exporters acting in collusion with Bangladeshi establishment, it has been decided to restrict Bangladesh imports of jute and jute products to India through only from Nhava Sheva port," said one of the sources. "The imposition is expected to streamline the quality checking, prevent misdeclaration and fraudulent labelling, thereby neutralising the malpractices that have plagued the industry for long," he said. "The government is also taking steps to ensure that exporters in Bangladesh do not circumvent the aforesaid restrictions by routing their jute exports through third countries," he added. Political fallout after Sheikh Hasina's ouster The imposition of these trade barriers marks a sharp downturn in bilateral ties between India and Bangladesh. The relations between the two neighbours have soured significantly following the ouster of the Sheikh Hasina-led government in Bangladesh — a longstanding ally of New Delhi. Her departure ushered in an interim government led by Muhammad Yunus, which has faced criticism for failing to curb attacks on minorities, particularly Hindus. This political instability and human rights concerns have contributed to the diplomatic chill and increased mistrust between the two countries.
India.com
17 hours ago
- Business
- India.com
India punishes Bangladesh harder, Modi govt imposes land and sea port restrictions on..., to affect...
India punishes Bangladesh harder, Modi govt imposes land and sea port restrictions on…, to affect… New Delhi: Weeks after imposing restrictions on apparel exports from Bangladesh, India has again issued an order restricting the import of Bangladeshi jute to India. The notification, issued on Friday by the Directorate General of Foreign Trade, states that jute from Bangladesh will not be allowed into India through any land or sea ports, except the Nhava Sheva seaport in Mumbai. As per official sources, the restriction on jute and other Bangladeshi fibre products has been implemented with immediate effect. On May 17, New Delhi had imposed restrictions on the entry of Bangladeshi apparel through its land ports. Apart from apparel, other products from Bangladesh to Northeast India were also stopped through the land ports. It is to be noted that the Indian jute industry has suffered for years as the entry of Bangladeshi jute to India is duty-free. Because of this the Indian jute industry suffered a lot. Recent government actions are expected to boost India's jute industry, benefiting both mills and farmers through increased market access and improved pricing. India's substantial jute sector stands to gain significantly from this development. Indian states such as West Bengal, Bihar, Assam, Odisha, Andhra Pradesh, Tripura, and Meghalaya produce jute. Jute industry give job to around four lakh workers in mills and other small units. As per sources, the Indian government has been raising the issue regarding the import of jute to the Bangladeshi government but they however made nominal adjustment continued to export in certain cases of 'value added jute products'. What Products Are Banned? The products banned by the Indian government include jute goods, hemp yarn, jute single yarn, twisted yarn, woven fabrics and unbleached jute fabrics. On May 17, India had also banned readymade clothes and processed food. These goods were also allowed to be brought only from certain ports. What Message Did India Give To Bangladesh? India's significant jute industry faces potential challenges from inexpensive jute imports from Bangladesh. A ban on these imports could be a protective measure aimed at bolstering the Indian jute sector's competitiveness. This action would likely negatively impact Bangladeshi jute exporters, particularly those reliant on land-based trade with India, resulting in decreased income and profitability. India's message is clear that it is committed to protecting and promoting its domestic jute industry, as lakhs of farmers and workers are directly or indirectly associated with the jute industry. This ban also signifies that the Indian government expects more balance and fairness in trade with Bangladesh. This can also be a kind of 'pressure' so that Dhaka reconsiders its trade policies. In recent times, there have been reports of tensions between India and Bangladesh over some diplomatic and political issues. India had earlier also banned the import of some other Bangladeshi goods, such as readymade garments and processed food items. Apart from this, some concerns have also been raised about the interim government of Bangladesh and its growing proximity to China. In such a situation, the ban on jute imports may be part of a broader diplomatic message, which is making Bangladesh aware of India's concerns.
Fibre2Fashion
17 hours ago
- Business
- Fibre2Fashion
India bans land entry of flax, jute fabrics from Bangladesh
India has expanded restrictions on the import of additional textile products from Bangladesh through land ports. Flax (linen) yarn, jute fibre, and woven fabrics have now been added to the restricted list for inbound trade with the neighbouring country. A notification to this effect was issued by the Directorate General of Foreign Trade (DGFT) under the Ministry of Commerce and Industry. According to the notification, imports of textile products under nine HSN codes from Bangladesh will not be allowed through any land ports along the India-Bangladesh border. However, such imports will be permitted via the Nhava Sheva seaport in Mumbai only. India has imposed new restrictions on importing nine categories of textile products from Bangladesh via land ports, effective immediately. Items such as flax (linen) yarn, jute fibre, and woven fabrics must now enter only through Mumbai's Nhava Sheva port. The rule excludes goods transiting to Nepal and Bhutan, but re-exports from those countries are prohibited. The restrictions came into immediate effect. The notification clarified that these measures do not apply to Bangladeshi exports transiting through India en route to Nepal and Bhutan. However, re-exports of these Bangladeshi products to India from Nepal and Bhutan will not be permitted. According to the notification, flax tow and waste (including yarn waste and garnetted stock) (HSN code 530130), jute and other textile bast fibres, raw or retted (530130), jute (excluding flax, true hemp, and ramie) (530390), single flax yarn (530610), single yarn of jute or of other textile bast fibres (530710), multiple folded yarn (530720), woven fabrics of flax (530919), woven fabrics of flax (530929), and unbleached woven fabrics of jute or of other textile bast fibres (530010) are included in the restrictive list for imports through land ports into India. Flax or linen yarn, jute-based products, and woven fabrics have been included in the restriction list. Flax or linen yarn, primarily used in clothing, is often referred to as 'super cotton' due to its breathability, moisture absorption capacity, and skin-friendly qualities. Fibre2Fashion News Desk (KUL)
The Hindu
a day ago
- Business
- The Hindu
India imposes land and sea port restrictions on jute from Bangladesh
Weeks after imposing land ports restrictions to apparel exports from Bangladesh, India has ordered Jute from Bangladesh will not be allowed to enter India through land ports on India-Bangladesh border. A notification to that effect was issued on Friday (June 27, 2025) by the Directorate General of Foreign Trade informing that the restrictions will apply 'across all land and seaports' with the exception of the Nhava Sheva seaport in Mumbai. Official sources informed that the port restrictions on 'jute and allied fibre/products from Bangladesh' has been implemented with immediate effect. 'Jute from Bangladesh enjoys a duty free access to India. However, the Indian jute industry has, for long, suffered due to the adverse impact of dumped and subsidised imports of jute products – particularly yarn, fibre and bags – from Bangladesh,' said an official source explaining the reason behind the imposition of entry ban on jute from Bangladesh. India had imposed anti-dumping duties (ADD) on jute from Bangladesh but that did not reduce jute imports from Bangladesh due to continued subsidies by the Government of Bangladesh, said the sources. Sources further said that India has been raising its concerns on jute before the authorities in Dhaka but Bangladesh only made 'nominal adjustments' and continues to incentivise exports particularly in cases of 'value-added jute products'. Jute is produced in West Bengal, Bihar, Assam, Odisha, Andhra Pradesh, Tripura, and Meghalaya and jute industry employs around four lakh workers in organised mills and diversified units. 'Artificially depressed prices caused by subsidized imports have had a direct and adverse impact on the income of jute farmers.' Friday's order includes flax tow and waste (including yarn waste and garneted stock), jute and other textile bast fibers, single yarn of jute or of other textile bast fibers, woven fabrics or flax, unbleached woven fabrics of jute or of other textile bast fibers. The order will not affect Bangladesh's exports to Nepal and Bhutan but re-exports of the same from Nepal and Bhutan to India will not be allowed. On May 17, India stopped entry of apparel from Bangladesh through its land ports. The same order also stopped entry of certain specified products from Bangladesh to northeast India through the land ports between Bangladesh and northeast Indian border. 'Bangladesh must not be allowed to persist with unfair trade practices that harm the livelihood of Indian farmers and mill workers in a sector that forms the economic backbone of dependent rural regions. The market access extended by India in good faith cannot be undermined to the detriment of India's economic interests,' said an official while explaining the decision on land ports restrictions on jute from Bangladesh. India feels that influx of cheap, subsidised imports from Bangladesh have depressed prices, hurt farmer incomes and led to underutilized capacity in Indian jute mills which led to unemployment. The Hindu was told that India will ensure that Bangladesh will not be able to access India's jute market through third countries, circumventing the restrictions.
