Bangladesh resumes Indian wheat purchases amid Black Sea disruptions
Bangladesh has resumed large-scale purchases of Indian wheat after India lifted its export ban in late August. Importers have already booked more than 200 thsd tons, marking the first significant purchases since 2022.
India’s return to the market comes amid disruptions to Black Sea grain supplies and higher global wheat prices. Bangladesh imports more than 7 mln tons of wheat annually, and since 2022 around 40% of its purchases have come from the Black Sea region.
Most Indian wheat is expected to be delivered to Bangladesh by rail. Delivered prices are around $305–326/t, well below Australian wheat, which currently costs Bangladeshi buyers more than $450/t.
Before India imposed its wheat export ban in 2022, it supplied nearly 70% of Bangladesh’s wheat imports due to short transport routes and low freight costs. Bangladesh later shifted purchases toward Argentina, Canada, Russia and Ukraine.
High global prices are adding to inflationary pressure in Bangladesh, where wheat flour prices in Dhaka have risen 17% over the past month. Against this backdrop, Indian wheat is once again becoming a competitive source of supply for the South Asian market.
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