South Asian Free Trade Area

Port restrictions and non-tariff barriers currently hamper exports of garments and processed food between the neighbors.

Bangladesh seeks relief from import curbs, while India pushes for better market access following the graduation of Dhaka from least developed country status under South Asia Free Trade Agreement terms.

The trade imbalance is notable with India exporting nearly $11 billion to the neighbor compared to $1.75 billion in the reverse direction.

Resolving these logistical friction points remains vital for maintaining supply chain stability and protecting margins for manufacturers reliant on cross-border commerce.