Cargo to Bangladesh surged at Petrapole port before India halted transit route
NEW DELHI : Before India discontinued the transshipment facility for Bangladesh’s export cargo, there was a notable surge in truck and consignment movement at Petrapole Land port, The Indian Express reported.
India has officially withdrawn the transshipment facility that had enabled Bangladesh to route its export goods to third countries using Indian land customs stations, ports, and airports. The decision, which took effect on April 8, brings an end to a transit arrangement that had been in place since June 2020. The termination is likely to increase logistical challenges and costs for Bangladeshi exporters, especially those targeting markets in Europe and West Asia.
As per a circular issued by India’s customs department on April 8, the provisions under the 2020 agreement allowing the movement of Bangladeshi export cargo through Indian territory to international destinations have been officially discontinued.
The move also comes amid growing friction in India-Bangladesh relations. Tensions reportedly escalated after Chief Adviser of Bangladesh’s interim government Muhammad Yunus expressed support for China’s economic engagement in India’s Northeast. He referred to Bangladesh as the ‘guardian of the ocean’ for the region — a remark seen as highlighting the strategic disadvantage faced by India’s landlocked northeastern states.
Petrapole sees uptick in transshipment cargo
Quoting customs officials, the news report said that Petrapole, the country’s busiest land port, saw 3,373 trucks from Bangladesh bringing transshipment cargo in financial year 2023–24, accounting for 4,733 consignments worth ₹2,357.27 crore. This rose significantly in 2024–25, with 4,686 trucks — marking a 39 per cent increase — and 7,772 consignments valued at ₹3,446.66 crore.
The news report quoted a senior Customs official at Petrapole as saying that India had extended the transshipment facility to Bangladesh in 2020, but it initially witnessed minimal use in 2020, 2021, and 2022. Activity picked up significantly in 2023, with a notable rise in transshipment consignments — mostly ready-made garments headed to European markets like Spain, especially before the Christmas season.
Officials said that trucks from Bangladesh bring consignments for clearance, after which Indian vehicles transport them to Kolkata or Delhi airports.
Currently, transshipment has been halted due to a new notification, though regular trade and passenger movement continue. Stakeholders, including truck operators and labourers, now face losses, particularly garment exporters from Bangladesh.
Located about 80 km from Kolkata, Petrapole is South Asia’s largest land port. During FY 2023–24, it handled trade worth ₹30,42,092 crore and saw movement of over 2.3 million people between India and Bangladesh.