Bangladesh turns India’s 4th biggest export destination

Bangladesh became the fourth biggest export destination of India replacing Hong Kong in the first three months of 2021.

India’s exports to Bangladesh rose 46 per cent on an annualised basis at $3.16 billion in January-March, securing it the fourth position after the US ($15.41 billion), China ($5.92 billion) and UAE ($5.34 billion), according to the latest data from the commerce ministry, reports the Hindustan Times.

Indian merchandise exports to Bangladesh, which saw a 35.14 per cent year-on-year growth to $0.95 billion in January and 17 per cent to $0.94 billion in February, witnessed a 93.45 per cent annualised jump in March to $1.26 billion.

Bangladesh was the ninth top export destination of India in 2019-20 and there was an annualised growth of 10.83 per cent to $9.09 billion in 2021. India’s top four export destinations in 2020-21 are the US ($51.63 billion), China ($21.2 billion), UAE ($16.68 billion) and Hong Kong ($10.15 billion).

Ajay Sahai, director general and CEO of Federation of Indian Export Organisations, said one of the reasons for increased export to Bangladesh is relatively fewer disruptions in movement of goods to the country compared to other export destinations in the US and Europe due to Covid restrictions.