Direct shipping, relaxed rules drive 10% surge in imports from Pakistan

Infograph: TBS

Imports of goods from Pakistan to Bangladesh have risen by nearly 10% in 2024 compared to the previous year, driven by improved import conditions and the launch of direct shipping between the two countries.

As trade volume continues to grow, Dubai-based shipping company Feeder Lines DMCC has doubled its vessel operations on the Pakistan-Chattogram route – from one to two ships. 

Business leaders say reduced transit time and lower costs have made imports via this route more attractive, with expectations of further growth in 2025.

Previously, all goods imported from Pakistan were subject to 100% manual inspections by Bangladeshi customs, leading to long delays. This bottleneck was removed following a directive issued by the National Board of Revenue (NBR) on 29 September 2024, shortly after the interim government took office.

Soon after, on 11 November 2024, direct shipping between Pakistan and Chattogram port officially began. Prior to that, imports from Pakistan had to be transshipped through ports like Dubai, Singapore, Colombo, or Port Klang (Malaysia), causing delays of up to 30 days. 

The direct Karachi-Chattogram route now delivers goods in just 11 days, reducing time and costs by nearly one-third.

According to NBR data, Bangladesh imported approximately 19.14 lakh tonnes of goods from Pakistan in 2024 via Chattogram Port, Dhaka Airport, Dhaka ICD, Mongla Port, and Pangaon ICT – up from 17.39 lakh tonnes in 2023. In the first four months of 2025 (Jan-Apr), imports have already reached 3.77 lakh tonnes.

Import-export goods

Businesspeople report a wide range of imported goods from Pakistan, including garment sector raw materials, sodium carbonate, dolomite, limestone, magnesium carbonate, broken glass for the glass industry, vehicle parts, yarn, fabric, finished leather, cement clinker, fruits, dried fish, women's three-piece dresses, and onions. 

Bangladesh exports raw jute, pharmaceuticals, hydrogen peroxide, tea, and ready-made garments to Pakistan.

Former BGMEA Vice President Rakibul Alam Chowdhury told The Business Standard that the Bangladeshi denim industry sources much of its fabric from Pakistan. 

"Earlier, complex customs procedures and transshipment delays created barriers. Now, with those issues eased, the import process is far more efficient. Containers are no longer stuck in ports due to manual inspections," he said.

Abdul Mannan, president of the Teri Bazar Traders' Association in Chattogram, said Pakistani ready-made garments – particularly women's three-piece outfits – are in high demand in local markets.

"Previously, importers faced multiple hurdles, including customs inspections. But before last Ramadan Eid, there were no such delays, which encouraged more traders to import these garments," he added.

NBR figures show that imports from Pakistan peaked at 33.15 lakh tonnes in 2020, with a value of over Tk1,886 crore. However, by 2022, the volume had dropped sharply to just 9.35 lakh tonnes.

In terms of import value, it was Tk6,725 crore in 2018, Tk6,989 crore in 2019, Tk1,886 crore in 2020, Tk1,392 crore in 2021, Tk1,324 crore in 2022, Tk2,066 crore in 2023, Tk1,323 crore in 2024, and Tk1,163 crore in the first four months of 2025.

While import volume rose in 2024, total import expenditure actually decreased by Tk743 crore from the previous year due to falling product prices.

Customs revenue

Various customs stations once generated a maximum annual revenue of Tk4,000 crore from imports of goods from Pakistan. In 2019, import duties collected on Pakistani goods – including at Chattogram Custom House – totalled Tk4,090.60 crore, up from Tk3,654 crore in 2018. However, revenue fell below Tk1,000 crore after 2020.

Customs revenue from imports from Pakistan stood at: Tk534 crore in 2020, Tk437 crore in 2021, Tk395 crore in 2022, Tk656 crore in 2023, Tk716 crore in 2024, and Tk275 crore from January to April 2025.

Feeder Lines DMCC's local agent in Bangladesh is Regency Lines Ltd, a subsidiary of the Karnaphuli Group. 

Speaking to TBS, Anis Ud Dowla, executive director of Karnaphuli Ltd, said a ship now arrives every 20 days (up-down) on the direct route. Previously, traders had to wait a long time for second connections at transshipment ports. That hassle no longer exists now.

Shafiqul Alam Jewel, vice chairman of the Bangladesh Shipping Agents' Association, noted that the direct route has significantly reduced shipment time and costs. "With faster deliveries, LC values – especially LC interest – are lower. This allows goods to reach buyers quickly and enables faster recovery of investments. Both importers and buyers are benefiting," he said.