Indian vehicles carrying export items have to enter Bangladesh through Petrapole checkpoint after waiting for 15 to 20 days, creating an impact on the value of Indian exports.
Business Standard, an Indian newspaper, said lack of parking facility on Bangladesh side resulted an increase in waiting time for trucks at Indian ports and outside.
The report said that India inaugurated the modern integrated check post (ICP) at Petrapole in 2016 increasing parking capacity of up to 2,000 trucks. Earlier, the capacity was only for 700-800 vehicles.
But, the Indian media said, Bangladesh has a facility to park 500-700 vehicles.
On an average, 3,000 to 3,500 trucks wait to cross a seven km stretch from Bongaon village in West Bengal to enter the ICP at Petrapole on any given day.
The average waiting time for trucks crossing the Bangladesh border is as much as 15-20 days.
"Thus parking rentals in adjoining areas have gone up several times," spokesperson for one of the major Indian exporters to Bangladesh said.
The report said out of the 3,500 trucks, 2,000 have to wait for almost 10 days before they get parking at Petrapole.
The Bongaon municipality accommodates 1,200 trucks, the rest are at the mercy of private parking lots.
"Private parking contractors charge an upfront fee of about Rs 4,000 per day. The irony is that Bongaon’s economy depends on this congestion,” the spokesperson said.
A senior official of the Land Port Authority of India (LPAI) said that for a big exporter, who exports 50 consignments a year, the cumulative detention time comes to 200 days.
"If a consignment gets stuck for 200 days, it would be a major cost,” the official said.
According to the report, the export of raw cotton, the top export commodity from India to Bangladesh, fell about 20 per cent in the first nine months of FY18 year-on-year through Petrapole."
The biggest decrease was in iron and steel, which fell 57 per cent.
Export of motor vehicles fell 10 per cent. Many companies, especially those involved in motor vehicle export, are exploring the sea route, despite its higher costs, said sources close to a prominent vehicle company.
A senior official of LPAI said detention, damage and pilferage are the three issues which have been impacting the bilateral trade.
"We have communicated to (Indian) ministry of home affairs that there has to be diplomatic pressure on Bangladesh to increase its port capacity,”
Meanwhile, the report said, the value of Indian exports to Bangladesh through the Petrapole checkpost increased 22 per cent between 2014-15 and 2016-17.
"Much of the increase is attributed to the Indian government’s push for trade with Bangladesh and the ICP," it said.
