An important agreement has been signed between India and Bangladesh regarding energy cooperation. The interim government of Bangladesh has decided to import 1 lakh 80 thousand tonnes of diesel from India between January and December 2026. This diesel will be purchased from Numaligarh Refinery Limited (NRL), a subsidiary of Indian government company Oil India Limited.

This diesel import has been approved by the Advisory Committee on Government Procurement of Bangladesh. This decision was taken in the meeting held on Tuesday (January 6, 2026) in the Secretariat under the chairmanship of Finance Advisor Salehuddin Ahmed. Earlier in October, the Advisory Committee on Economic Affairs had approved fuel import for 2026, after which now this deal has been finalized.

The deal will be worth 14.62 crore taka

According to Bangladeshi media reports, the total cost of this deal has been fixed at 119.13 million US dollars, i.e. approximately 14.62 crore Bangladeshi Taka. Under the agreement, the base price of diesel per barrel has been kept at $83.22. This price is decided on the basis of international market rates and is subject to change according to market fluctuations.

Payment will be made through BPC and bank loan

A part of this import will be borne by Bangladesh’s state-owned company Bangladesh Petroleum Corporation (BPC), while the remaining amount will be paid through bank loans. It is clear from this that Bangladesh is dependent on India to meet its energy needs.

Diesel will reach Bangladesh from Assam

Numaligarh Refinery Limited is located in Assam. From here the diesel will first be brought to the marketing terminal in Siliguri, West Bengal. After this it will be transported to Parbatipur depot of Bangladesh Petroleum Corporation.

Supply will be from Friendship Pipeline

To make the supply of diesel easier and cheaper, the Bangladesh-India Friendship Pipeline built between India and Bangladesh will be used. Fuel will be sent directly to Bangladesh through this pipeline, which will reduce transportation costs and make the supply more stable.

India-Bangladesh energy relations will become stronger

This agreement is being seen as increasing energy and trade cooperation between the two countries. Even before this, Bangladesh had announced to buy rice from India. This decision to import diesel clearly indicates that Bangladesh is considering India as a partner for its energy security.

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India-Bangladesh Trade: Relations between India and Bangladesh have soured due to the extradition of former Bangladesh Prime Minister Sheikh Hasina, the death of student leader Sharif Ustan Hadi and the continuous atrocities on Hindus. Currently, political crisis and domestic unrest are at its peak in Bangladesh under the government of Muhammad Yunus. Meanwhile, anti-India slogans are being raised in Bangladesh, threats are being made to separate the northeastern states ‘Seven Sisters’ from India.

However, during this period the strong trade relations between the two countries cannot be denied. Both the countries transact goods with each other. In particular, Bangladesh’s dependence on Indian goods is much higher. Let us see on which Indian goods the people raising slogans against India in Bangladesh depend?

Bangladesh is ‘India locked’ country

First of all, considering the geographical location of Bangladesh, its relationship with India becomes very important. Bangladesh is surrounded by India on all sides, hence it is called ‘India Locked’ country. This is because there is a 4367 km long border between India and Bangladesh and this is 94 percent of the international border of Bangladesh. That means 94 percent of Bangladesh’s border is with India. In such a situation, its business with India becomes quite easy. On top of this, a large number of people from Bangladesh keep coming to India for work in various cities of India and for better treatment. Apart from this, Bangladesh is also highly dependent on India for daily food items. Let us see what Bangladesh imports from India:-

Rice

Bangladesh buys rice from India on a large scale. Rice is the third largest item exported from India. Apart from Basmati, Bangladesh buys many other different types of rice from India. Meanwhile, it has also come to light that Bangladesh is purchasing a total of 100,000 tonnes of rice from India and Pakistan. According to the report of Daily Star, the Food Ministry of Bangladesh is going to buy 50,000 tonnes of non-Basmati rice from India’s M/S Pattabhi Agro Foods Private Limited at the rate of $ 355.77 per tonne.

Sugar

Bangladesh buys not only rice but also sugar from India. Along with India, Bangladesh also sources sugar from Brazil, Thailand and even Pakistan because its production capacity here is limited according to the demand. In Bangladesh, domestic refiners like Meghna Group, Citi Group and Vasundhara Group import raw sugar from India and refine it and then the goods go to the markets.

potato-onion

India is also a big supplier of potatoes and onions to Bangladesh. In the business year 2023-24, India sent about 7.24 lakh tonnes of onions to Bangladesh. At the same time, 3.5 lakh tonnes of potatoes were exported in 2022-23. In such a situation, Bangladesh’s idle talk of boycotting India or Indian goods may prove costly.

spices

Bangladesh is also a big importer of other grains and spices. Many spices like chilli, turmeric, cumin, ginger are sent from India to Bangladesh. Apart from this, India also plays an important role in the food security of Bangladesh because Bangladesh is dependent on India for onion, potato, ginger, garlic and many other types of vegetables and fresh fruits.

medicines

Medicines for the treatment of various diseases are also sent from India. Many generic medicines ranging from anti-diabetic to paracetamol, vitamin C tablets, omeprazole are also sent from India to Bangladesh. Apart from this, India also supplies life saving drugs and API to Bangladesh.

textile

Bangladesh is the second largest exporter of readymade garments. To run it, it requires threads, which are imported from India. This thread is the backbone of the readymade garments industry of Bangladesh, on which the livelihood of many people depends. Not only this, India is also a big market for Bangladeshi clothes. In such a situation, if the bitter relationship between the two countries impacts this industry of Bangladesh, it will be a big blow to the economy there, which is already under pressure.

Oil

Bangladesh also imports oil and petroleum products from India. Bangladesh fulfills its energy needs by importing oil and fuel from India. A 131 km long gas pipeline is laid from Numaligarh in Assam to Parvatipur in Bangladesh, through which 1 million metric tons of high-speed diesel is supplied annually. Apart from this, India also has a contract for refined crude oil with Numaligarh Refinery Limited of Bangladesh. Bangladesh also buys many types of chemicals from India.

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Ever since the coup in Bangladesh, the Antyaram government has been formed under the leadership of Mohammad Yunus, its relations with India have come up with India. Bangladesh is constantly getting closer to Pakistan’s largest enemy Pakistan. Meanwhile, India took strict action against Bangladesh and banned imports from any land port on the border. According to the Ministry of Commerce and Industry, Government of India, this decision has been implemented with immediate effect.

Not allowed to import from Bangladesh through ground roads

Some jute products and ropes banned imports from ground routes with immediate effect. However, according to the notification of the Directorate General of Foreign Trade (DGFT), these imports have been allowed through Nhawa Sheva Port. The notification of DGFT said, ‘No import from any ground port on the Indo-Bangladesh border will be allowed from Bangladesh. It said, “Imports of some items from Bangladesh to India are prevented with immediate effect.”

What goods were banned

The items that have been banned by India include woven clothes, rope, jute sacks and bags, unbleded clothes, twisted, rope made from jute. Earlier on June 27, India had banned imports from Bangladesh on all the ground routes of many jute products and woven clothing. These included readymade clothes and plastic items.

After this decision of the Government of India, Bangladesh will now have to send its same India via the sea, which will be very expensive for it. Not only this, it will take more time to send goods from the path of the sea. India says that it is suffering financial loss due to Bangladesh’s trade policies. This has made it difficult to do business in the northeastern states of India.

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