Kanpur’s leather exports to Bangladesh stalled amid political crisis

Kanpur's leather industry has temporarily suspended exports to Bangladesh due to the ongoing political crisis in the neighbouring country. Shipments have been halted since Tuesday, with containers at the Kolkata port put on hold. The suspension follows the resignation of Bangladesh’s Prime Minister Sheikh Hasina, which has plunged the nation into uncertainty and instability.

The export freeze affects a wide range of goods, including chemicals, accessories, footwear components, textiles, engineering products, and food articles. Typically, 20 to 25 containers are dispatched from Kanpur to Kolkata for shipment to Bangladesh, with leather being a key item in this trade.

Exporters acted swiftly upon learning of the political upheaval. “As soon as we heard about the instability and Prime Minister Hasina’s resignation, we instructed our agents to halt all shipments,” one exporter shared. This cautious approach underscores the industry’s concern over the volatile situation in Bangladesh.

Asad Iraqi, President, the Regional Council for Leather Export, underlined the dual trade relationship between the two countries. "We engage in both export and import of leather with Bangladesh, but both activities are now on hold. We are waiting to see if the country stabilizes under a democratically elected government or transitions to military rule," he said.

The uncertainty has left exporters apprehensive about potential financial losses. However, they are prioritizing safety and are closely monitoring developments in Bangladesh. Iraqi added, “Until the situation improves, resuming trade would be unwise. Stability is essential for both sides to ensure secure and seamless operations.”

This disruption highlights the fragility of international trade in the face of political crises and its cascading impact on industries dependent on cross-border partnerships.