India Suspends Bangladesh RMG Imports via Land Ports: CITI
New Delhi, May 18, 2025 – The Directorate General of Foreign Trade (DGFT) has issued a notification suspending imports of all categories of Readymade Garments (RMG) from Bangladesh via land ports. This move is expected to significantly impact the volume and cost of RMG imports into India, as most of these goods were routed through land-based trade channels.
In 2024, India imported USD 634 million worth of RMG from Bangladesh, growing at a CAGR of 19% over the last decade. The current restrictions are anticipated to escalate costs for Bangladeshi apparel exporters while opening up new opportunities for Indian manufacturers.
Shri Rakesh Mehra, Chairman of the Confederation of Indian Textile Industry (CITI), linked the development to Bangladesh’s April 2025 restriction on Indian cotton yarn exports. “Cotton yarn makes up nearly 45% of India’s yarn exports. The Indian government’s response is a strategic countermeasure to that unilateral move by Bangladesh,” he said.
Shri Mehra emphasized that the restriction could stimulate the Indian textile industry by encouraging domestic RMG manufacturing, redirecting cotton yarn supply to local markets, and strengthening India’s self-reliance in apparel production.