India Withdraws Transhipment Facility Amidst Strained Bangladesh Trade Relations

India has withdrawn the transhipment facility for Bangladeshi exports, citing congestion at its ports and airports. The decision follows Bangladesh's measures affecting trade, including halting Indian yarn imports. Relations have soured since the interim government stepped in, with Prime Minister Modi expressing hopes for constructive ties.

India announced the cessation of its transhipment facility for Bangladeshi exports to third countries like Middle East and Europe, attributing the decision to logistical congestion at ports and airports.

While India refrained from specifying the immediate Bangladeshi actions that prompted this move, reports indicate that Bangladesh's interim government's import bans and port closures have strained bilateral trade dynamics.

Tensions have been exacerbated by political changes in Bangladesh and recent discord over minority safety, complicating the situation.

(With inputs from agencies.)