The political turmoil in Bangladesh is significantly impacting Delhi’s auto parts trade, particularly affecting markets like Kashmere Gate and Karol Bagh, which export spare parts to the neighboring country, TOI reported.
Traders are facing uncertainty about their sales due to concerns over payment issues for goods already dispatched or in transit.
According to the Chamber of Trade and Industry (CTI), auto parts worth around Rs 1,000 crore are exported monthly from Delhi to Bangladesh. This trade has been vital due to the presence of Indian-branded two-wheelers and four-wheelers in Bangladesh, making it a lucrative market. However, as Brijesh Goyal, national convener of CTI, noted, “The ongoing crisis has jeopardized trade volumes, leaving traders uncertain about their business futures.”
Vishnu Bhargava, former president of the Automotive Parts Merchants’ Association and distributor of auto parts for leading Indian brands, expressed concern about the situation. Bhargava, who handles Mahindra auto parts, told TOI that previous political unrest in Sri Lanka had already disrupted their business operations, causing delays in receiving new orders.
The current instability in Bangladesh has compounded these issues, with Bhargava worried about potential losses from consignments already sent but not yet paid for.
Ajay Gupta, a seasoned auto spares dealer from Karol Bagh, echoed similar anxieties. Gupta, who has been in the business for two decades, noted, “We’ve never faced such uncertainty before. Our recent consignment is stuck in Benapole at the West Bengal border, and we are now liable for damage charges to the transport company. Moreover, there have been cases where goods have been delivered according to bank information, but we have not received any response from customers even after internet services resumed in Bangladesh. We can only hope to avoid further losses.”
Concerned business owners are coordinating with exporters in Kolkata, Jaipur, and Ludhiana, preparing to collaborate on solutions if the situation does not improve.
Chandi Chowk MP Praveen Khandelwal mentioned that his team is currently assessing the crisis’s impact on various markets. “Besides auto parts, India exports coffee, spices, and confectionery to Bangladesh. We are currently monitoring the situation and will take further action once a new government is formed there,” he said.
