Bangladesh may become India's fourth largest export destination in FY22

Contact Counsellor

Last Updated04/01/2022

Bangladesh could become India’s fourth-largest export destination in FY22.
This occurs as India’s exports continue to expand as a result of its eastern neighbor’s economic progress.
According to disaggregated data available till October, exports to Bangladesh increased by 81% to $7.7 billion in the first seven months, compared to the same time the previous year.
After the United States, the United Arab Emirates, and China, it is India’s fourth-largest export market.

In 2020-21, India’s wheat exports are mainly to neighbouring countries with Bangladesh having the largest share of more than 54% in both volume and value terms.

India and Bangladesh are currently conducting a joint study to see if they can reach an agreement on a bilateral comprehensive economic partnership (CEPA).
In order to promote cooperation on bilateral trade, an India-Bangladesh CEO’s Forum was established in December 2020 to provide policy-level insights in several areas of trade and investment as well as enable contacts between business groups and is set to meet shortly to further strengthen trade and economic ties.
To enhance linkages and collaboration in the textile sector, the first meeting of the India-Bangladesh Textile Industry Forum was held in February 2020.
The economy of Bangladesh is expected to grow at 5.5 % in FY22 and 6.8 % in FY23, according to the Asian Development Bank (ADB). ADB, in its Asian Development Outlook released in September, said excluding petroleum, imports (overall) by Bangladesh increased by 14.5% in FY21.