India has ended the transshipment facility given to Bangladesh. This may affect Bangladesh’s trade with Bhutan, Nepal and Myanmar. Under this facility export cargo from Bangladesh to third countries was allowed using Indian land customs stations en route to ports and airports.
Indian exporters, mainly from the apparel sector, were the first to urge the government to withdraw this facility from the neighbouring country. The Central Board of Indirect Taxes and Customs (CBIC) has issued a circular in this regard.
GTRI chief Ajay Srivastava said that India has always been helping Bangladesh. India has allowed Bangladeshi goods to enter its market without any tariff. This facility has been provided for the last 20 years. Except for liquor and cigarettes, there is no tax on all other goods.
In this, the board has canceled its old order of June 29, 2020. In that, goods coming from Bangladesh were allowed to be sent to other countries via India. This goods used to reach Indian ports and airports via land. The purpose of this was that Bangladesh could easily send goods to countries like Bhutan, Nepal and Myanmar.