As much as 30 per cent of India’s trucking industry is dependent on the country’s trade with neighbouring Bangladesh. But, with export shipments to Bangladesh falling in the wake of rising tensions between the two South Asian nations, the trucking industry is facing a whopping loss of ₹10 crore each day.
“Around 45 per cent of land-based exports to Bangladesh has stopped due to the political and financial crises in that country. As exports declined, demand for trucks has also fallen. It is a major financial blow to us,” says Sajal Ghosh, secretary, Federation of West Bengal Truck Operators’ Association.
According to exporters, India’s shipments to Bangladesh have been hit badly due to uncertainty and delay in payments.
“There have been some recent cases where exporters have not received payments from Bangladeshi importers. Due to this, a significant volume of land-based exports has stopped , causing a drop in demand for trucks,” Ghosh says.
He says 275-300 trucks currently enter Bangladesh each day through the Petrapole-Benapole border, compared with around 400 earlier, when relations between the two countries were normal.
The land port Petrapole, about 80 km from Kolkata, is a vital gateway for trade and commerce between India and Bangladesh. Benapole is the border crossing on the Bangladeshi side for trade and passenger movement. Nearly 70 per cent of the land-based trade, in terms of value, between the two countries takes place through Petrapole.
The other major land ports in West Bengal are Gojadanga, Hili, Mahadipur and Fulbari.
“Through Gojadanga, around 150 trucks are entering Bangladesh per day, against around 300 earlier. Similarly, 60-70 trucks are crossing the Hili border today, compared with 200 in August,” Ghosh says.
India’s bilateral ties with Bangladesh continue to remain strained ever since the erstwhile Bangladeshi Prime Minister Sheikh Hasina was ousted following massive student protests against her government.
India’s main exports to Bangladesh include vegetables, fruits, spices, industrial commodities, iron and steel, and vehicles, among other goods.