The National Board of Revenue (NBR) has officially suspended the import of yarn from India through land ports, issuing a notification to that effect on Tuesday.
With immediate effect, import of yarn via Benapole, Bhomra, Sonamasjid, Banglabandha, and Burimari land ports has been halted. However, yarn imports may still continue through seaports or other non-land routes.
The announcement was confirmed by NBR’s Public Relations Officer, Al-Amin Sheikh, who stated that the new directive replaces a previous notification issued on August 27, 2024. The updated order has come into force without delay.
The move comes after the Bangladesh Textile Mills Association (BTMA), representing domestic textile mill owners, demanded in February this year that yarn imports through land routes from India be discontinued.
Following their plea, Bangladesh Trade and Tariff Commission, in a letter sent in March to the NBR, urged the authority to take measures to reduce reliance on imported yarn and promote the use of locally produced yarn in garment industry.
In the letter addressed to NBR Chairman, the Tariff Commission emphasized that yarn quality control infrastructure at border entry points was not yet adequate to measure yarn count as per international standards. It recommended that yarn imports be permitted only through seaports until such infrastructure is properly developed. Acting on this recommendation, NBR Chairman Abdur Rahman Khan issued the new order.
It is known that yarn produced in northern and southern regions of India is stockpiled in Kolkata before being transported to Bangladesh. Due to lower prices, these Indian yarns have become increasingly popular among Bangladeshi manufacturers, reducing demand for domestically produced alternatives. As a result, local yarn producers have suffered significant losses and struggled to compete in market.
Mill owners further stated that while yarn imported from China, Turkey, Uzbekistan, and produced locally is priced similarly, Indian yarn entering through land ports is significantly cheaper. In some cases, it is sold at prices lower than those declared at Chattogram Customs House. This price disparity has created an unfair market advantage and has undermined the competitiveness of local yarn producers.