Cross-border trade between Bangladesh and Myanmar through Teknaf Land Port is in disarray as the Arakan Army, a Myanmar-based rebel group, disrupts ship movement along the Naf river estuary.
With cargo being seized, intensified border tensions, and dwindling imports and exports, traders warn that the once-thriving trade route may soon be completely halted.
On January 16, the Arakan Army seized three cargo ships travelling from Yangon to Teknaf. While two ships were released on January 20, one remains in their custody.
“We don’t know the exact reason for the seizure,” said Ehteshamul Haque Bahadur, general secretary of the Teknaf Land Port C&F Agents Association.
The rebel group that controls much of the 270km border with Bangladesh has imposed an unwritten embargo on ship movement along the Naf estuary.
Bahadur expressed concern over the disruption of trade. “If this situation persists, traders may be forced to abandon their businesses in Teknaf. Resolving this requires collective efforts.”
Importer Shawkat Ali, whose goods are on the seized ship, said yesterday that the Arakan Army is inspecting vessels on the Myanmar’s territorial waters that are under their control.
Some goods from Myanmar are being imported through Chattogram Port. Shawkat, however, said using the Chattogram Port significantly increases costs and causes delays. “Shipping goods via Teknaf takes five to seven days, while via Chattogram requires at least a month.”
A businessman, wishing not to be named, claimed that the Arakan Army is holding one ship hostage as it belongs to an associate of a high-ranking Myanmar military officer. “The seizure seems intended to put pressure on the junta. The Arakan Army is also trying to secure a share of the cross-border trade.”
Jasim Uddin, general manager of Teknaf Land Port, the only private land port in the country, highlighted the sharp decline in trade since November 2023.
“Before then, around 50 cargo ships docked every day. But after the fighting intensified along the Bangladesh-Myanmar border, the number dropped. Since July 2024, when the fighting reached Maungdaw township, only three to five ships have been arriving each month,” he said.
Port officials said three ships had to wait for several days to return to Myanmar from Teknaf due to threats from the Arakan Army.
Lt Col Ashiqur Rahman, commanding officer of Bangladesh Border Guard 2 Battalion in Teknaf, said they were not formally informed of the issue. No business representative reported it. “The incident occurred in the Myanmar waters with Myanmar vessels, so there is nothing we can do about it.”
The BGB official assured that they are ensuring the security of Bangladeshi people along the border.
DECLINE IN TRADE
Trade through Teknaf Land Port has significantly dropped over the last two fiscal years, according to data from Teknaf Customs.
In the 2022-23 fiscal year, 1,88,999 tonnes of goods worth Tk 1,545 crore were imported from Myanmar, while Bangladesh exported 2,941 tonnes of goods worth Tk 6.72 crore.
However, in 2023-24 fiscal year, imports dropped to 71,741 tonnes, valued at approximately Tk 808 crore. Exports also saw a significant decline, with only 704 tonnes of goods worth Tk 2.45 crore.
In the first six months of the current fiscal year, Bangladesh imported 11,129 tonnes of goods worth around Tk 113 crore through Teknaf Port. During the same period, 636 tonnes of goods valued at approximately Tk 64 lakh were exported to Myanmar.
The imported items include dry fish, frozen fish, betel nuts, onions, ginger, coconuts, wood, and other goods. Bangladesh’s main exports to Myanmar are cement and potatoes.
Contacted, a foreign ministry official told The Daily Star that the ministry was not in a position to contact the Arakan Army. Bangladesh maintains formal communication with the Myanmar Army governing the country. “We hope that the Arakan Army will release the ship for their own interest.”
Asked about the slump in the trade, the official, who preferred anonymity, said the trade between the two countries is not that significant for Bangladesh.
Daily Star
