Bangladesh has resumed large-scale wheat purchases from India after a four-year gap, as disruptions to grain shipments from the Black Sea region push up global prices and make supplies from distant markets increasingly expensive.
Bangladeshi private-sector importers have booked more than 200,000 tonnes of Indian wheat since India removed its export restrictions in late August, according to a Bloomberg report. The purchases mark the first significant Indian wheat sales to Bangladesh since 2022, sources said.
Over 200,000 tonnes booked as global wheat prices rise
Most of the newly booked wheat is expected to be transported by rail, with delivered prices estimated at $305-$326 per tonne. By comparison, Bangladeshi buyers are currently paying more than $450 a tonne for Australian wheat, up from less than $380 previously.
Food Ministry sources said the renewed purchases came as the Russia-Ukraine war continued to disrupt grain shipments from the Black Sea, one of the world's major wheat-exporting regions.
Bangladesh imports more than 7 million tonnes of wheat annually. Before India imposed export restrictions in May 2022, nearly 70 per cent of Bangladesh's wheat imports came from India.
Following the restrictions, Bangladeshi importers diversified their sources to countries including Argentina, Canada, Russia and Ukraine. About 40 per cent of the country's wheat imports subsequently came from the Black Sea region, leaving Bangladesh exposed to disruptions there.
India lifted its four-year wheat export ban on August 24, changing the export policy from "prohibited" to "free" amid record production, ample stocks and weaker domestic prices. The move followed limited export quotas introduced earlier in 2026.
India's renewed availability has made its wheat competitive in regional markets due to lower prices and shorter transportation distances.
The US Department of Agriculture's Foreign Agricultural Service expects Indian wheat exports to rise to around 2 million tonnes in 2026/27, more than four times the previous year's level.
The pressure is also being felt in Bangladesh's domestic market. Refined wheat flour prices in Dhaka have increased 17 per cent over the past month, according to the Trading Corporation of Bangladesh.
Wheat is the country's second-most consumed cereal after rice, raising concerns that higher import costs could further increase prices of flour, bakery products and other wheat-based foods.
Industry officials said the key concern was increasingly the affordability of wheat rather than its physical availability. Higher prices could also encourage consumers to shift towards rice.
When contacted, Food Ministry Joint Secretary (Procurement and Collection) Md Kamrul Islam Chowdhury said he was unaware of the recent private-sector purchases.
"Maybe the private sector can import wheat from India. It's not under the Food Ministry. It's the concern of the Ministry of Commerce," he said.