Indian exporters demand landing charge on Bangladeshi garments at Delhi airport

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Indian exporters demand landing charge on Bangladeshi garments at Delhi airport

BMirror Desk:

Indian garment exporters are demanding a “landing charge” on Bangladeshi garments shipped through the Delhi airport for onward export to Western countries. This comes amid a surge in Bangladeshi garment exports using the Delhi airport as a transit hub, leading to concerns from Indian exporters facing space constraints for their own products.

The Bangladesh Garments Manufacturers and Exporters Association (BGMEA) has refuted claims of congestion caused by Bangladeshi products, stating that only a small portion of their exports utilize the Delhi route. They believe the demand for a landing charge is unreasonable.

Previously, Bangladeshi garments bound for Europe and the USA were often exported through Kolkata airport. However, this route was discontinued in 2023, leading to a shift towards Delhi.

Indian exporters facing logistical challenges at the Delhi airport due to the increased volume of Bangladeshi garments are seeking prioritization for their own products. They believe a landing charge on Bangladeshi goods would deter their use of the Delhi route, potentially impacting Bangladesh’s garment exports.

However, the Bangladesh Garments Manufacturers and Exporters Association (BGMEA) has strongly refuted claims of congestion caused by Bangladeshi products. They emphasize that only a small portion of their exports utilize the Delhi route, and the current volume shouldn’t significantly impact Indian exporters’ operations. BGMEA views the landing charge demand as unreasonable and potentially discriminatory.

Experts like Apparel Export Promotion Council Chairman Sudhir Sekhri believe a landing charge wouldn’t benefit Indian exporters directly, as the additional cost would only burden Bangladeshi exporters and ultimately benefit the airport authority.

BGMEA director Mohiuddin Rubel emphasizes that the limited volume of Bangladeshi garments shouldn’t cause congestion at the Delhi airport and calls for increased airport capacity instead of imposing additional charges.

This situation highlights potential trade tensions between India and Bangladesh over the use of airport infrastructure for garment exports. While Indian exporters seek solutions to address their concerns, a landing charge specifically targeting Bangladeshi goods could escalate the issue and negatively impact Bangladesh’s garment export competitiveness.

The demand for a landing charge on Bangladeshi garments at the Delhi airport highlights potential trade frictions arising from increased competition in the garment export sector. While Indian exporters face legitimate logistical challenges, imposing an additional cost burden solely on Bangladeshi goods is not an equitable solution. Instead, focusing on infrastructure development, capacity expansion, and fostering collaborative dialogue will be key to ensuring smooth trade flows and maintaining strong economic ties between India and Bangladesh.

Bmirrorhttps://bmirror.net/
businessmirror20@gmail.com

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