Bangladesh turns to India for cheaper rice amid diplomatic strain

Despite visible political unease and diplomatic sharpness between India and Bangladesh, Dhaka has chosen economic practicality over rhetoric by sourcing rice from India at a significantly lower cost.

Bangladesh’s interim government has acknowledged that ignoring cheaper Indian supplies in favour of costlier alternatives would be economically unwise, especially amid mounting domestic pressures, according to a report by News18 Hindi.

India offers cost advantage over Pakistan

Bangladesh has decided to import 50,000 tonnes of rice from India at around $355 per tonne, while simultaneously purchasing an equal quantity from Pakistan at a higher price of $395 per tonne, as per a report by Bangladeshi newspaper The Daily Star.

This price gap translates into a saving of nearly $40 per tonne on Indian imports. For the full consignment, the savings amount to approximately $2 million, or about ₹17.9 crore at the prevailing exchange rate, the News18 Hindi report noted.

Bangladeshi officials admitted that sourcing rice from countries such as Vietnam would have further increased costs per kilogram, reinforcing India’s position as the most economical supplier.

Trade kept separate from politics

The development is noteworthy given the recent deterioration in bilateral relations. Yet India has neither restricted supplies nor altered pricing, signalling its intent to keep food security separate from political disagreements. This approach appears to have resonated in Dhaka.

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Bangladesh’s Finance Adviser Salehuddin Ahmed said interim chief adviser Muhammad Yunus was actively working to ease tensions with New Delhi. He reiterated that trade decisions would not be driven by political rhetoric.

'Tensions at a historic low, but not beyond repair'

Relations between the two neighbours have been strained in recent months, with diplomatic summons, protests outside embassies and sharp exchanges. Some analysts have described the situation as the lowest point since 1971.

However, Ahmed partly disagreed with this assessment, saying, "Even if it appears from the outside that the situation is very bad, things have not deteriorated to that extent," as per News18 Hindi.

He also hinted that certain external elements may be fuelling anti-India sentiment, which he said was not aligned with Bangladesh’s national interest.

Ground realities shape decisions

Overall, the rice import decision underscores a clear message: while political narratives may fluctuate, economic realities remain decisive.

India continues to be Bangladesh’s most reliable and affordable option for essential food supplies, ensuring that trade ties endure even during periods of diplomatic stress.

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