November19 , 2025

    Bangladesh, India explore coastal shipping link to boost Bbilateral trade

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    A high-level delegation from Bangladesh’s Ministry of Shipping (MoS) has completed a feasibility study of three major ports on India’s eastern coast as part of a joint initiative to launch direct coastal shipping services between the two countries.

    Led by Commodore Jubair Ahmed, Director General of Bangladesh’s Department of Shipping, the team visited Paradip in Odisha, Visakhapatnam in Andhra Pradesh, and Haldia in West Bengal. The visit concluded with detailed discussions at Paradip Port Trust (PPT) on port capacity, traffic handling, and facilities required to support the proposed service.

    Currently, cargo between Bangladesh and India is routed through third-country ports such as Singapore or Colombo, adding both cost and time. Commodore Ahmed said the new coastal link would significantly reduce freight costs and transit time, providing a strong boost to bilateral trade.

    Bangladesh first proposed the idea in July during talks in Dhaka to renew the long-standing Inland Water Transit and Trade (PIWTT) protocol, under which riverine cargo movement has been facilitated since 1972. India accepted the proposal in principle and invited Bangladesh to study its ports. A reciprocal Indian team is expected to visit Chittagong and Mongla ports soon.

    Shipping officials noted that Bangladeshi vessels, which already dominate river protocol routes, stand to gain additional business if coastal services commence. However, most Bangladeshi ships will require upgrades to meet international port standards. Of the country’s nearly 2,000 vessels, only about 80 are fully classified for international operations.

    Bangladesh currently imports goods worth $4.5 billion from India and exports about $1 billion annually, with exports rising since India eased trade restrictions on Bangladeshi garments.

    Paradip Port, India’s fifth largest, has the capacity to handle 76 million tonnes of cargo annually—far higher than Bangladesh’s main Chittagong Port, which manages 45 million tonnes. PPT is expanding its capacity to 237 million tonnes by 2020 and is developing new oil and multipurpose berths to accommodate vessels up to 125,000 DWT.

    Officials from both countries believe the proposed coastal service could transform regional trade logistics, cutting reliance on transshipment hubs and strengthening direct maritime connectivity between Bangladesh and India.

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