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India has terminated the transhipment facility that allowed Bangladesh to export cargo to third countries through its land borders.

The Central Board of Indirect Taxes and Customs (CBIC) issued a circular yesterday (8 April) regarding the withdrawal of the facility.

"It has been decided to rescind... circular...dated June 29, 2020, as amended with immediate effect. Cargo already entered into India may be allowed to exit the Indian territory as per the procedure given in that circular," reads the CBIC circular.

The previous circular had allowed transhipment of export cargo from Bangladesh to third countries using Indian Land Customs Stations (LCSs) en route to Indian ports and airports.

Indian think tank Global Trade Research Initiative (GTRI) said with the new circular, the transhipment arrangement has been terminated with immediate effect.

However, cargo that has already entered Indian territory under the earlier system will be allowed to exit as per existing procedures, according to the circular.

According to Indian Express, the move followed Bangladesh's advocacy for extending the Chinese economy into the strategically important Northeast India region.

During his recent China visit, Chief Adviser Muhammad Yunus urged China to establish an economic base Bangladesh and insisted that Bangladesh was the "only guardians of the ocean" for the region.

"The seven states of India…eastern part of India — are called the Seven Sisters. They are a landlocked region of India. They have no way to reach out to the ocean. We are the only guardians of the ocean for this region. So this opens up a huge possibility. So this could be an extension of the Chinese economy…" Yunus said, inviting Chinese investors to Bangladesh.

A number of Indian leaders and scholars including Assam Chief Minister Himanta Biswa Sarma reacted to the chief adviser's comment.

They labeled the statement as "offensive, strongly condemnable and provocative."

"Bangladesh's plans to establish a strategic base near the Chicken's Neck area with China's assistance may have prompted this action. Bangladesh has invited Chinese investment to revitalise the airbase at Lalmonirhat, near India's Siliguri Corridor," Indian Express quoted Ajay Srivastava, former trade officer and head of GTRI.


The National Board of Revenue (NBR) has restricted the import of yarn through land ports to protect the local textile and spinning sector, according to a notification with immediate effect.

The decision comes just over two weeks after the commerce ministry recommended limiting such imports, citing that an influx of raw materials for the apparel industry had led to significant losses for domestic textile millers.

Local manufacturers are unable to compete with imported yarn, as importers often declare lower values for shipments brought in through land ports compared to those arriving via Chattogram port, the ministry said.

The recommendation followed pleas from local textile millers.

In the notification issued on April 13, the revenue board blocked yarn imports through the Benapole, Bhomra, Banglabandha, Burimari and Sonamasjid land ports. The restriction takes immediate effect.

The government had allowed yarn imports through these ports in January 2023 to meet an abrupt surge in demand following the Covid-19 pandemic.

Meanwhile, India last week revoked the transshipment facility for Bangladesh's export cargo destined for third countries via its land borders to Indian airports and seaports.

However, the neighbouring country claimed that the move would not affect Dhaka's trade with Nepal and Bhutan through Indian territory.

The measure is expected to increase costs for Bangladesh's apparel exporters, many of whom ship orders to Western markets through Indian airports, particularly Indira Gandhi International Airport in New Delhi.

Previously, exporters transported goods overland through the Benapole–Petrapole border en route to Indian airports, including those in Kolkata and Delhi, for onward air shipment to global destinations.

 

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The August 2024 overthrow of the Sheikh Hasina government in Bangladesh fundamentally changed India’s calculations regarding the Kaladan project. Due to its strong backing for Hasina’s regime, New Delhi has a difficult relationship with the interim government currently in power in Dhaka. It cannot be certain that the interim government, or a future Bangladeshi administration, will continue to facilitate tariff-free movement of goods through Chattogram.

A renewed sense of urgency has thus emerged in New Delhi about the Kaladan project. But moving forward with Kaladan required strengthening relations with the Arakan Army. Kaladan was not the only rationale for such overtures, given the other concerns about border security and China noted above, but it shifted a slowly evolving policy into higher gear.

The Indian government began to expand contacts with the Arakan Army, as well as Chin armed groups, in both New Delhi and in Aizawl, the capital of Mizoram. There was, however, significant mutual mistrust to overcome in forging a meaningful relationship.

 

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Trying to intimidate us?
 

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The internet regulator is abandoning its plan to allow Bangladesh to be the transit point for bandwidth supply to India's northeastern states on concerns that it could weaken the country's potential to become a regional internet hub.

Last year, the Bangladesh Telecommunication Regulatory Commission (BTRC) sought the telecom ministry's permission after Summit Communications and Fiber@Home applied to supply bandwidth from Singapore via the Akhaura border to the northeastern region of India through Bharti Airtel.

Summit Communications's chairman is Muhammad Farid Khan, the younger brother of Awami League presidium member Faruk Khan, also a five-time member of parliament from the Gopalganj-1. Farid is also a close friend of Sajeeb Wazed Joy, the son and ICT affairs adviser of ousted prime minister Sheikh Hasina.

Fiber@Home was a major beneficiary during the AL regime from 2009 to 2024, ranking second to Summit Communications in terms of major government contracts and licences won.

Before the two international terrestrial cable operators sought the BTRC's approval, Bharti Airtel applied to the foreign ministry the previous year for permission to connect Agartala through Akhaura to Bangladesh's submarine cable landing stations in Cox's Bazar and Kuakata to reach Singapore.

Under this arrangement, Bangladesh would serve as the transit route -- enabling faster internet connection for India's northeastern states of Tripura, Arunachal Pradesh, Assam, Mizoram, Manipur, Meghalaya and Nagaland.

At present, the states, popularly known as the Seven Sisters of India, are connected to Singapore through submarine cables in Chennai using the neighbouring country's domestic fibre optic network.

The landing station in Chennai is about 5,500 kilometres away from the northeastern part -- a considerable distance that compromises the internet speed.

Due to the mountainous nature of the region, the maintenance of fibre optic networks and the installation of new networks are relatively difficult.

"The guidelines do not permit such 'transit' arrangements," Md Emdad ul Bari, chairman of BTRC, told The Daily Star on Thursday.

Subsequently, the internet regulator wrote to the telecom ministry last week to recall its earlier application.

The transit arrangement will also strengthen India's position as a dominant internet hub and weaken Bangladesh's potential to become a regional hub, according to a BTRC document.

It would also hinder the potential for Bangladesh to become a Point of Presence (PoP) for content delivery network (CDN) providers such as Meta, Google, Akamai and Amazon.

A PoP is a physical location, facility or data centre that acts as an interconnection point for various networks. It facilitates the exchange of data traffic between different network providers, internet service providers and CDNs. In short, it is a central hub where data highways from different regions converge.

Currently, CDNs such as Meta, Google, Akamai and Amazon have their PoPs in Indian cities such as Kolkata, Chennai and Mumbai. Through transit connectivity provided by Summit and Fiber@Home, the Indian telecom operators would easily be able to offer internet services to the Seven Sisters.

Besides, the arrangement would obstruct Bangladesh's ability to provide internet services to parts of Myanmar and northwestern China through its own infrastructure.

Approximately 60 percent of the international bandwidth in Bangladesh is supplied by the seven ITCs like Summit Communications and Fiber@Home, while the remaining 40 percent is provided by Bangladesh Submarine Cables (BSC).

Despite BSC's bandwidth capacity of 7,217 Gbps, only 2,343 Gbps is currently being utilised.

Granting such connections to ITC operators despite BSC's adequate capacity and redundant cables would further increase ITC operators' bandwidth usage, undermining efforts to utilise BSC's unused bandwidth effectively.

"This arrangement would not harm Bangladesh," said Sumon Ahmed Sabir, chief technology officer at Fiber@Home, while acknowledging that the Seven Sisters region would undoubtedly benefit more.

Bangladesh, however, would also gain by earning foreign currency, while BSC, ITC and Nationwide Telecommunication Transmission Network (NTTN) operators would share in the profits, he added.

Summit Communications did not respond to The Daily Star's request for comment.

"Ultimately, the bandwidth from India will end up in India, reducing Bangladesh to merely a transit point," said Aminul Hakim, president of the Bangladesh Internet Governance Forum.

At first glance, it may seem that Bangladesh would earn foreign currency from this arrangement.

However, since the two local ITC providers facilitating the transit already import bandwidth from Indian companies, there is a significant likelihood of service exchange, depriving the government of revenue, Hakim added.


Trying to intimidate us?

Looks like the plan for Panagarh is old but plan for Lengpui is new. Hostility is nothing new but obviously it increased after 5th August. I don't think we need any further intimidation from them since they have more fire power than us and our deterrence is still weak.

 
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India's state-run railway engineering company RITES limited has received an order from Bangladesh to supply 200 railway coaches worth 900 crore rupees.

With this order, Rites wants to double the share of revenue and ensure one overseas order each quarter, the Mint reported quoting Chief Managing Director (CMD) of the company Rahul Mithal.

"After a four-year hiatus, we now seeing high-value exports of rolling stock returning to RITES. In each of the quarters stating from last quarter of previous fiscal year, we have been bagging one export order and we intend to main this run rate bagging one exporter order in each quarter going ahead," Mithal said.

Rites had bagged Rs 900 crore order from Bangladesh for supply of 200 rail coaches of nine different designs, Rs 300 crore order for supply of 10 diesel locomotives to Mozambique and two orders of Rs 90 crore for supplying cape gauge in-service diesel locomotives, which still have 15-20 years of life left, to South Africa.

He said the company will start generating revenue from exports of rolling stock with supply of passenger coaches to Bangladesh starting from second half of next year while locos are getting delivered to Mozambique early next year.

"Subject to design approvals by railways operators in South Africa, diesel locos may also start getting delivered and generating revenue from next fiscal," the chairman and managing director said.

The South African order will test the use of these diesel locos on cape gauge networks., Accordingly RITES sees huge potential coming from it from other African countries and even Indonesia that has trains running on this gauge.

He said the company will start generating revenue from exports of rolling stock with supply of passenger coaches to Bangladesh starting from second half of next year while locos are getting delivered to Mozambique early next year.

"Subject to design approvals by railways operators in South Africa, diesel locos may also start getting delivered and generating revenue from next fiscal," the chairman and managing director said.

The South African order will test the use of these diesel locos on cape gauge networks., Accordingly RITES sees huge potential coming from it from other African countries and even Indonesia that has trains running on this gauge.

"Securing more than 110 orders of more than Rs 1,900 crore in just one quarter (Q3), which is nearly equal to the orders received in the entire FY24, underscores our strategy to aggressively march ahead, leveraging our multi-sectoral strength and maintaining our USP of being a '1 order a day' company," Mithal said.

RITES is also looking at expanding its inspection business that has now moved out from the exclusive fold of the railways. The company has already bagged one order on testing in Sri Lanka and is expecting more orders in this line of business from both domestic and overseas clients.

"Our export orders will start generating revenue from next fiscal and we hope that along with implementation of other orders, we will see at least a 20% growth in our tooling and double digit growth in our bottom line in FY26," Mithal said.

RITES, which is the export arm of Indian Railways, saw operating revenue (consolidated), excluding other income, stand at Rs 576 crore in Q3FY25 as against Rs 683 crore in Q3FY24, a 15.7% dip. Total revenue in the quarter also fell to Rs 614 crore rupees as against Rs 700 crore rupees in Q3FY24. Accordingly, RITES also saw its revenue and net profit declining in the nine-month period ending 31 December.

The overseas business of RITES would also see it expanding its footprint in consultancy opportunities in Latin America, Africa, South East Asia and West Asia while moving beyond neighbouring countries such as Sri Lanka for its inspection business that involves certifying product and processes of various infrastructure projects.

"We are now focusing our energy on improved execution of orders in hand. This should arrest the slide in top line and bottom line by the end if current fiscal and give us positive growth in the coming year," Mithal said.

 

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New Delhi has suggested that some “developments” in Bangladesh played a role in its decision to revoke a transshipment facility that had allowed Bangladeshi exports to pass through Indian ports.

Randhir Jaiswal, spokesperson for the Indian Ministry of External Affairs, said the decision was primarily logistical but suggested that “developments” in Bangladesh should also be considered in understanding the context.

Speaking at a media briefing on Thursday, he said: “We had taken that measure because of the congestion that we see at our ports and our airports.”

“But I would also remind you, please do have a look at the developments that have happened on the Bangladeshi side prior to us announcing these measures.”

Jaiswal, however, did not elaborate on the nature of these developments, nor did he cite any specific incident or official action taken by the Bangladeshi government.

According to the Indian daily The Hindu, the remarks came in response to a question regarding recent tensions in trade relations between the two neighbouring countries.

A report published last week in The Indian Express suggested that the decision was prompted by a statement made by Chief Advisor Muhammad Yunus, during a visit to Beijing.

While speaking at the BIMSTEC summit on Mar 28, Yunus told Chinese investors that Bangladesh played a crucial role in offering maritime access to India’s landlocked northeastern states, known collectively as the “Seven Sisters”.

“The seven states of India, in the eastern part of India, which are called the Seven Sisters... are landlocked areas of India. They have no way to the sea. We are the sole guardian of the sea for this region,” Yunus said.

On Apr 8, India’s Central Board of Indirect Taxes and Customs formally withdrew the transshipment facility, which had previously allowed Bangladeshi goods to be exported via Indian ports and airports.

The move has disrupted the supply chain for Bangladeshi garments and other goods bound for third countries, especially shipments routed through Delhi’s Indira Gandhi International Airport.

Responding to criticism, the Indian Ministry of External Affairs issued a statement emphasising the operational burdens the facility had placed on Indian infrastructure.

“The transshipment benefit extended to Bangladesh was causing significant congestion at our airports and seaports,” said the Indian statement.

“This led to delays, higher costs, and backlogs in our own export system. Therefore, the facility has been withdrawn effective from Apr 8, 2025.”

The ministry added, “To be clear, this decision does not affect goods moving from Bangladesh to Nepal or Bhutan via Indian territory.”

In a reciprocal move, Bangladesh’s National Board of Revenue announced on Tuesday the suspension of yarn imports from India through five land ports - Benapole, Bhomra, Sonamasjid, Banglabandha and Burimari.

When asked about Dhaka’s response, Jaiswal declined to comment on the matter during the same press conference on Thursday.

The Hindu, however, citing an unnamed Indian official, reported that New Delhi suspects the restriction on yarn imports was intended to pave the way for increased sourcing from Pakistan.

Relations between Bangladesh and India have grown increasingly strained since former premier Sheikh Hasina departed from office.

The interim government led by Yunus has accused Hasina of conspiring with Indian actors to destabilise Bangladesh, and has called for her extradition to face trial.

 

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Isa Khan

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India has restricted the import of at least seven categories of Bangladeshi goods, including readymade garments, fruits and processed foods, through its land ports – just a month after Bangladesh banned yarn imports via the same route.

The ban, outlined in a 17 May notification from India's Directorate General of Foreign Trade under the Ministry of Commerce, stipulates that garments from Bangladesh may now only enter India through Kolkata and Nhava Sheva, Mumbai, seaports.

"All readymade garment imports from Bangladesh shall not be allowed from any land port, however, it is only through Nhava Sheva and Kolkata seaports," reads the circular.

The restrictions will not apply to Bangladeshi goods transiting through India but destined for Nepal and Bhutan, it added.

Other items included in the restriction are fruit, fruit-flavoured and carbonated beverages, processed food products, cotton and cotton yarn waste, finished plastic and PVC goods, and wooden furniture.

Imports of these goods have also been barred from entering India via any land customs station or Integrated Check Post (ICP) in Assam, Meghalaya, Tripura and Mizoram.

While India's order does not cite Bangladesh's yarn ban as the reason, many Bangladeshi exporters believe the move is retaliatory.

"We see this as a reciprocal response to Bangladesh's recent restrictions on land-port yarn imports," said Shams Mahmud, a leading garment exporter, told The Business Standard.

He noted that the shift to seaports will increase costs and affect timely delivery, particularly for small exporters. "We supply to several Indian retail outlets. Increased lead times will hurt smaller players in particular."

Mahmud, however, added that since Bangladesh did not restrict Indian imports through seaports, India is unlikely to block Bangladeshi goods via sea either.

Bangladesh's ban on yarn imports through land ports came into effect on 15 April, following lobbying by the Bangladesh Textile Mills Association, alleging that yarn importers were abusing land-port access to under-declared shipments, harming domestic textile mills.

While local spinners welcomed the move, apparel manufacturers opposed it, saying it would raise production costs.

According to National Board of Revenue officials, about three-fourths of yarn imports from India already come via seaports.

Bangladesh imported around $9 billion worth of goods from India in FY24, according to Bangladesh Bank data. In contrast, exports to India during the same period stood at $1.56 billion, as per the Export Promotion Bureau.

Mohammad Hatem, president of the Bangladesh Knitwear Manufacturers and Exporters Association, believes the restriction is unlikely to cause significant harm to Bangladesh's garment exports.

However, he fears exports of processed food and other items may take a hit.

"This kind of reciprocal action hurts bilateral trade on both sides," he said. "But India stands to lose more, as Bangladesh imports far more from them."

He added that such issues should be resolved through dialogue, not by trade barriers.

Kamruzzaman Kamal, director at Pran-RFL Group, told The Business Standard that India is a major market for Pran-RFL Group's processed foods, plastic products, furniture, and PVC-finished goods.

"We have made substantial investments in India to serve this market. If India imposes restrictions on the entry of these products, it would be a significant setback for our exports," he said.

"Such restrictions would not only impact Pran-RFL, but also pose serious challenges for other businesses. We hope that both governments will resolve the issue through dialogue and keep the trade routes open," he added.

On 9 April, India withdrew the transhipment facility it had granted to Bangladesh for exporting various items to the Middle East, Europe and various other countries except Nepal and Bhutan.

According to NDTV, it was announced against the backdrop of the statement made by Bangladesh's interim government Chief Adviser Muhammad Yunus in China recently that India's seven northeastern states, which share a nearly 1,600 km border with Bangladesh, are landlocked and have no way to reach the ocean except through his country.

The comment did not go down well in New Delhi and also drew sharp reactions from political leaders in India across party lines, according to NDTV.

Indian exporters, mainly from the apparel sector, had also earlier urged the government to withdraw this facility to the neighbouring country, the official added.


Bangladesh cannot assume India's northeastern states are a captive market for its exports while denying the region market access, people familiar with the matter said on Sunday after New Delhi imposed restrictions on imports of ready-made garments and other goods from the neighbouring country.

India on Saturday restricted imports of ready-made garments (RMG) from Bangladesh only to Kolkata and Nhava Sheva ports and barred imports of a range of consumer goods through 13 land border posts in the northeast and West Bengal in response to restrictions adopted by Dhaka. The move on RMG is expected to have a significant impact on Bangladesh as its annual exports of these items to India are worth about $700 million.

"Bangladesh needs to realise that it cannot cherry pick terms of bilateral trade solely for its benefit, or assume the northeastern states are a captive market for its exports, while denying the region market access and transit," one of the people cited above said on condition of anonymity.

The land port restrictions imposed by India on select exports from Bangladesh to the northeast through a notification issued by the Directorate General of Foreign Trade on Saturday is expected to restore equality in the relationship, the people said. While India had so far allowed all exports from Bangladesh without restrictions, transit and market access to the northeastern states had been restricted by the Bangladeshi side, they said.

The latest measure by India "restores equal market access for both countries", especially since Bangladesh has been seeking equality in engagement with India, the person said.

RMG imports from Bangladesh were restricted to the two sea ports of Kolkata and Nhava Sheva, Mumbai, as a response to Bangladesh imposing similar trade restrictions on Indian yarn and rice, and selectively enhancing inspection of all Indian exports, the people said. The trade relationship with Bangladesh will be on reciprocal terms, they added.

In the context of Bangladesh interim government chief Muhammad Yunus playing up the landlocked status of the northeastern states during a visit to China last month, the people noted that Prime Minister Narendra Modi had emphasised that these seven states are integral to the Bimstec grouping. The equal market space now available in the resource-rich northeastern states is expected to give a fillip to manufacturing and entrepreneurship in the region under "Atmanirbhar Bharat" schemes and policies, they said.

Meanwhile, Bangladesh's de facto commerce minister Sheikh Bashir Uddin told reporters in Dhaka on Sunday that trade with India will continue in the interest of consumers and businesses of both countries.

"We have not yet received any official communication from the Indian side. Once we do, we will take appropriate steps. If any issues arise, both sides will work to resolve them through discussions," he said, referring to India's restrictions on imports from Bangladesh.

Bashir Uddin said the Bangladeshi side had only learnt about the matter from social media and media reports.

"Not everything we export is affected. A large portion of our exports comes from the garment sector. Our main focus remains on achieving competitiveness. Trade is beneficial to both countries. India has a strong textile industry, yet they import our products based on our capabilities," he said.

He expressed optimism that trade with India will continue as it is in the interest of consumers and producers on both sides.

 

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India and Bangladesh which share a long and historically sensitive border are facing new tensions over growing incidents of people being forcibly pushed into Bangladesh from India labelling them as 'Bangladeshi'.

These 'push-ins' involving Bangladeshi nationals, Rohingya refugees, and unidentified people — are raising concerns over human rights violations and potential strains on cross-border relations, trade, and people-to-people ties.

Despite formal diplomatic protests lodged by Dhaka, the push-in incidents have continued in several border points.

On Thursday alone, over 100 people were sent across the border, according to sources at the Border Guard Bangladesh (BGB).

They were detained from borders in Panchagarh, Lalmonirhat, Thakurgaon, Dinajpur, Moulvibazar, Feni, Cumilla and Khagrachhari districts.

According to official and local sources, over 300 people were pushed into Bangladesh between 4 May and 15 May from India .

BGB and residents in borders report a surge in 'push-in' or 'attempt of push-in' incidents from India to Bangladesh.

BSF patrols are reportedly taking a harder line on suspected cross-border movements rising fear among civilians.

India and Bangladesh have established legal frameworks and protocols for the repatriation of illegal migrants but the deportation continues ignoring the protocols

Experts say this action is a violation of international human rights laws and goes against existing bilateral agreements between the two countries.

When his attention was drawn about "Pushed-in" by Indian BSF, Inspector General of Police (IGP) Baharul Alam said that BGB have already detained some Bengali-speaking persons, who failed to show any ID or passports after illegally entering Bangladesh from India.

Some claim to be Bangladeshi nationals who had previously gone to India, he said.

Identities of those persons are being verified by the concerned government agency, and appropriate action will follow in coordination with police, the BGB officer said.

Some of them have reported being blindfolded and transported from distant regions before being abandoned at isolated stretches of the border.

The Border Guard Bangladesh (BGB) has detained those who crossed over and is currently interrogating them to verify their identities and ensure security measures.

On 21 May, Foreign Adviser Touhid Hossain said communication with New Delhi continues and Dhaka is trying that nothing happens beyond the set mechanisms.

"They (India) have conveyed their position to some extent and we explained our position. We are trying to make them understand that this is not right," he said, referring to a Standard Operating Procedure (SOP).

The adviser said the Indian side has given Bangladesh a list and Dhaka is verifying it through the Home Ministry.

Bangladesh's position is that it will examine each case separately and will receive only if there is proof that they are Bangladeshi

National Security Adviser Dr Khalilur Rahman recently said any repatriation should occur through formal diplomatic channels.


The government today (22 May) cancelled its previous transfer order for Shabab Bin Ahmed — currently serving as minister (local) at the Bangladesh Embassy in The Hague, Netherlands — and asked him to return to headquarters instead of joining as deputy high commissioner in its Kolkata Mission.

He was supposed to assume the role of deputy high commissioner at Bangladesh's Deputy High Commission in Kolkata by June.

The Ministry of Foreign Affairs (MoFA) issued the latest transfer order cancelling the previous order issued on 21 November last year, a senior official told UNB.

 

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In June 2017, Indian and Chinese troops stared each other down on the windswept Doklam plateau in Bhutan, beginning a standoff that lasted for 73 days. The trigger was a Chinese road construction project that came perilously close to India’s vulnerable Siliguri Corridor—sandwiched between Bangladesh, Bhutan, and Nepal—and brought home a chilling reality: The fate of India’s northeast could hinge on this sliver of land and the goodwill of its neighbors.

That vulnerability is now back in the conversation, not because of Chinese action, but because of a dramatic shift in Bangladesh’s foreign policy. In just a few months, India-Bangladesh ties have unraveled into mutual suspicion, strategic maneuvering, and a dangerous blame game. Since Bangladeshi Prime Minister Sheikh Hasina’s ouster last August, New Delhi has lost its privileged access in Dhaka, where the new leadership is openly courting Beijing and Islamabad.

As India struggles to shape the global narrative after its recent clash with Pakistan, having its eastern neighbor aligned with its two biggest adversaries—to the west and the north—is not welcome news.

India’s troubles with Bangladesh are not the result of a hostile axis between China and Pakistan, but because of its own missteps: most notably, New Delhi’s unwavering support for Hasina’s authoritarian regime and the rise of Hindu nationalism under Indian Prime Minister Narendra Modi. By prioritizing short-term security interests and domestic politics over democratic values and goodwill, India alienated the Bangladeshi public, squandered its influence in Dhaka, and pushed its neighbor to seek out new partners.

Meanwhile, Indian media is awash with alarmist rhetoric that frames Bangladesh’s pivot as a conspiracy orchestrated by China and Pakistan. The truth is that India’s predicament is largely self-inflicted, the result of years of strategic myopia. The diplomatic rupture threatens India’s security, economic interests, and regional standing—underscoring the urgent need for introspection and a reset in New Delhi’s approach to its neighborhood.

Few places illustrate India’s strategic vulnerability more starkly than the Siliguri Corridor, which is 22 kilometers wide at its narrowest point and connects India’s northeast to the rest of the country. The corridor is a lifeline to the Indian states bordering China and Myanmar.

Muhammad Yunus, Bangladesh’s interim leader, did not mince words about the area during a visit to China in March, drawing outcry in New Delhi. He urged China to establish an economic foothold in Bangladesh by highlighting his country’s strategic position. “India’s northeast is completely landlocked, and its access to the ocean is completely controlled by Bangladesh. The Siliguri Corridor is the only route that connects the northeast with the rest of India, and this connection passes through Bangladesh,” Yunus said.

In China, Yunus showed a new willingness to leverage geography for diplomatic and economic advantage. This wasn’t just rhetoric: Chinese President Xi Jinping sent a plane to bring Yunus to Beijing, signaling close ties. China also granted 100 percent duty-free access to Bangladeshi exports and pledged to import more goods from Bangladesh. Yunus secured a commitment of $2.1 billion in Chinese funding, along with infrastructure and military cooperation agreements.

Eager to expand its influence in South Asia, China has long embraced Bangladesh as a partner, including during Hasina’s regime, when it built a submarine base in the coastal city of Pekua. These ties are reaching another level under Yunus, while India struggles to find its footing in Bangladesh without Hasina.

India’s nightmare scenario is clear: A hostile Bangladesh, aligned with China and Pakistan, could threaten to choke off the Siliguri Corridor, isolating the northeast and destabilizing the region.

This isn’t just theoretical. When Indian soldiers boldly walked into Bhutan in June 2017 to stop Chinese workers from building a road, it was to prevent Beijing from getting close to the Siliguri Corridor. Former Indian Army Gen. M.M. Naravane mentions concern at the highest political levels about Chinese access to the region in his memoir, Four Stars of Destiny. (The Indian government has not cleared the book for publication.)

China consolidated its military presence in the Doklam plateau after the two sides disengaged in August 2017. But it remained a point of concern even in 2020, when India and China were grappling with a major border crisis in Ladakh, some 1,500 miles away. According to Naravane, India has constantly pressed Bhutan about safeguarding the area. To hear Yunus openly talk about this strategic vulnerability on Chinese soil is bound to raise an alarm in India.

Meanwhile, Yunus has also agreed to invite China to further develop the Mongla port; under Hasina’s government, Bangladesh agreed to let India use and operate the port, with operational rights for an Indian company now in place. The Bangladeshi leader has also reportedly invited Pakistan to build an air base at Lalmonirhat, near the Siliguri Corridor.

Many people in both countries pinned hopes on Modi’s meeting with Yunus at a regional summit in Bangkok in April to reset India-Bangladesh relations, but the leaders talked past each other. The meeting highlighted major flash points, as Modi and Yunus raised their grievances and security concerns, underscoring the depth of tensions and the need for further dialogue.

Yunus’s press secretary, Shafiqul Alam, posted on social media that when Yunus mentioned Bangladesh’s request for the extradition of Hasina—who has been staying in New Delhi since last year—Modi’s “response was not negative.” (Alam also said that Modi told Yunus, “We saw her [Hasina’s] disrespectful behavior towards you.”)

India, however, denied the claim and dismissed the account as politically motivated. Modi raised the issue of attacks against Hindus in Bangladesh after Hasina was deposed, and Indian officials said that the “Bangladeshi contention that attacks on minorities were a social media concoction was dismissed as being in contradiction of facts on the ground.”

For nearly two decades, India’s Bangladesh policy revolved only around Hasina. Her Awami League government delivered stability in India’s northeast, cracked down on insurgents targeting India, and granted New Delhi vital transit rights. Under Hasina, Bangladesh even gave favorable contracts to the Adani Group, a corporate ally of Modi.

In return, India provided unwavering diplomatic, political, and economic support to Hasina, even as her rule grew increasingly autocratic and unpopular. Elections in 2014, 2018, and 2024 were widely criticized as rigged. Yet India shielded Hasina from international pressure and ignored Bangladeshis’ growing resentment toward her government; it hardly engaged with other stakeholders during her tenure.

This Faustian bargain had consequences. To many Bangladeshis, India became complicit in undermining the country’s democratic aspirations. Anti-India sentiment festered, fueled by border killings, water-sharing disputes, and the perception that India benefited disproportionately from the relationship. When mass protests forced Hasina’s resignation, India found itself with few friends in Dhaka and little leverage.

Hindu nationalist politics under Modi and the Bharatiya Janata Party (BJP) have compounded India’s woes. The 2019 Citizenship Amendment Act excluded Muslims from provisions for fast-tracked Indian citizenship for persecuted minorities from Bangladesh and other neighbors. Those in Bangladesh saw the law as an affront—an attempt to cast Bangladeshis as “illegal infiltrators” and “termites,” in the words of Indian Home Minister Amit Shah.

Modi’s visit to Bangladesh in 2021 sparked violent protests, and persistent anti-Bangladeshi rhetoric from BJP leaders has deepened the sense of betrayal.

To many Bangladeshis, India now appears less as a secular partner and more as a Hindu-majoritarian state, indifferent to the concerns of its Muslim neighbors. India has raised the issue of attacks against Hindus in Bangladesh since Hasina’s ouster, often based on misinformation. In a tit-for-tat response to such statements, Dhaka recently urged New Delhi “to take all steps to fully protect the minority Muslim population” after violence in the Indian state of West Bengal.

This shift has emboldened nationalist and Islamist forces in Dhaka, who see little incentive to accommodate Indian interests and every reason to seek new partners in Beijing and Islamabad.

Indian commentary often attributes Bangladesh’s new foreign-policy activism to manipulation by China and Pakistan. The reality is more complex. Under Yunus, Bangladesh is pursuing a classic hedging strategy: broadening its diplomatic options, extracting investment from China, and re-engaging with Pakistan after years of estrangement. In April, Bangladesh and Pakistan held their first foreign office consultations since 2010. Pakistan’s deputy prime minister was scheduled to visit Dhaka afterward; it was postponed after the terrorist attack in Kashmir.

Bangladesh resuming direct flights, easing visa restrictions, and engaging in nascent military cooperation with Pakistan signal a deliberate effort to reduce dependence on India and assert autonomy. Pakistan, meanwhile, sees a chance to regain influence in Bangladesh, which it lost in the country’s 1971 liberation war, with the added benefit of unsettling India’s eastern flank.

China, for its part, has seized the opportunity. It has offered Bangladesh duty-free access for exports, technology transfers, and billions of dollars in infrastructure funding with a clear goal to draw the country into the orbit of its Belt and Road Initiative and use its territory as strategic leverage against India. China offers Bangladesh a route to “escape India’s foreign policy grip” and an opportunity for the next stage of greater regional integration.

Alarmed by these developments, India has responded with a mix of threats, intimidation, and economic coercion. Its message to Beijing, Dhaka, and Islamabad is unambiguous: Any attempt to threaten the Siliguri Corridor will be met with overwhelming force. “India has one chicken neck and Bangladesh has two chicken necks. So, if they think of attacking our chicken neck, we will attack their two necks. Their chicken neck from Meghalaya to Chittagong port is smaller than our chicken neck. It’s just one call away,” Assam Chief Minister Himanta Biswa Sarma said.

A retired Indian naval commander wrote that a narrow land bridge in southeastern Bangladesh is vulnerable to Indian military action; there is a 17-kilometer-wide area that opens into the Bay of Bengal and includes Chittagong harbor, which could be split off from the country. A former policy advisor to Modi’s government has even advocated new mapmaking to redress a “strategic vulnerability” like the Siliguri Corridor—threatening the very existence of Bangladesh.

On the economic front, India has suspended a key transshipment facility that allowed Bangladesh to route exports through Indian ports—widely interpreted as retaliation for Dhaka’s embrace of Beijing. The arrangement had streamlined trade, making it easier and cheaper for Bangladesh to access international markets. Terminating it will likely increase costs for Bangladesh’s strained export sector, especially its garment industry.

Over the weekend, India tightened the screws when it stopped Bangladeshi exports of ready-made garments and other specified goods through all land ports, allowing entry only via Kolkata and Mumbai with mandated inspections. The move came in response to Bangladesh’s earlier restrictions on Indian yarn exports via land ports; it significantly limits Bangladeshi access to the Indian market, affecting its garment industry and broader bilateral trade relations. Though India frames these steps as necessary for national security, they also risk deepening the rift.

Blaming Pakistan and China for the current tensions conveniently ignores India’s own role in alienating Bangladesh. By backing Hasina, ignoring democratic backsliding, and indulging in Islamophobic politics, India has squandered the goodwill that it built painstakingly over decades.

The strategic consequences are profound. Bangladesh’s pivot away from India threatens to undermine counterterrorism cooperation, which is vital for containing cross-border militancy and insurgency in India’s volatile northeast. Economic ties, once a source of mutual benefit, are fraying, with trade disruptions and rising protectionism on both sides. Most dangerously, the risk of border incidents or even insurgent resurgence in India’s northeast is growing.

To arrest this downward spiral, India must first look inward. At this critical juncture, the question is no longer whether geography makes India vulnerable, but whether its own choices have become a dangerous liability.

Rather than blaming external actors for Bangladesh exercising its autonomy, India must recommit to democratic values. Only then can New Delhi rebuild trust with the Bangladeshi people. The Modi government must work toward curbing Islamophobic rhetoric within its ranks. It can’t allow its Hindu-majoritarian domestic politics to dictate India’s foreign policy. The language of exclusion and suspicion must give way to respect and partnership.

The Modi government’s attempts to employ a punitive strategy have failed in South Asia, whether in Nepal, the Maldives, or Bangladesh. Rather than economic coercion, India should offer positive incentives: trade, investment, and connectivity projects that benefit both sides. It is high time that India recognizes that its neighbors have agency. Building coalitions, not dependencies, is the only sustainable path to regional stability.

The current situation is about more than the Siliguri Corridor or maritime access to the Bay of Bengal. It is a test of whether India can adapt to a multipolar South Asia, where smaller states want to reassert their sovereignty. If the Modi government fails to recalibrate, it risks not only the loss of Indian influence in Bangladesh, but also the unraveling of its entire Neighborhood First and Act East policies.

The lesson is clear: Strategic depth cannot be bought with autocratic bargains or defended with force alone. It must be earned through respect, restraint, and a willingness to see neighbors as equals.

 

Isa Khan

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Isa Khan

Experienced member
Moderator
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7,378
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62 10,477
Nation of residence
Bangladesh
Nation of origin
Bangladesh
The BSF personnel tried to cut the river embankment at Ballamukha, bordering Feni. Later, BGB and locals chased them and BSF members were forced to flee after firing five rounds. Yesterday, the 4th BGB commander of Feni Lt Col Mohammad Mosharf Hossain confirmed the matter and said that the incident took place in his own Kalikapur of Mirzanagar Union of Parashuram Upazila of the district.

According to the related sources, the city of Bilonia in Tripura state of India was flooded due to the pressure of mountain landslides during this monsoon season. Later, the Indians cut the dam at the mouth of the Ballamukha canal with the help of BSF personnel. Due to this, the water of Ceylonia river in Feni rose and many villages were flooded.

At one stage, BSF members tried hard to cut the embankment in the Bangladesh side. However, they failed in the face of BGB and local residents' obstacles. Due to power outage and lack of network, the matter was not known until now, but after the situation normalized, the matter came to the attention of the media.

It is known that after speaking with several residents of Parashuram, Md Mostafa, Delwar Hossain, Ismail Hossain, on the morning of August 20, the villagers were asked to be careful about the damming of the Ballamukha canal. BSF tried to cut the embankment of the Bangladesh side around 8 pm that day. Indian citizens also came forward to help them.

The BSF fired five rounds of blanks to disperse the Bangladeshi residents occupying the embankment. Later, the members of their Kalikapur BGB camp came forward with the help of the villagers. The Indians could not cut the embankment of the canal in the face of their obstacles. Feni residents including Mirzanagar Union of that upazila have been saved from more suffering due to this flood.

Another elderly resident of Parashuram, Yunus Mia, said that if the dam was cut, more water would have entered Parashuram including Mirzanagar Union. Earlier, during the flood of 1983, Parashuram was also cut due to heavy damage. Naik Rumman Sharif of his Kalikapur BGB camp said, we took a position on the dam with the villagers so that the dam could not be cut in any way.

Lt Col Mohammad Mosharraf Hossain, the captain of 4 BGB in Feni said that the BSF members tried to cut a dam at the zero line of the border in that area. The Bangladeshis prevented it. Later, when the BGB members went, they were forced to move.

Incidentally, there is a dead river in the west-south of Char adjacent to the Muhuri river at Kalikapur in Mirzanagar union of Parshuram upazila. It is known as Ballamukhar Canal. The Ballamukhar Canal starts from Kalikapur itself and joins the Ceylonia River through the villages of Rangamatia, Fakir Khil, North Kautli, Bainya Village, DM Sahebnagar, Melaghar, Mirzanagar, Gadanagar, East Sahebnagar, Kalikrishnanagar.

 

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