Nakugaon Land Port fails to expand beyond stone imports

The Nakugaon Land Port in Nalitabari, Sherpur, has yet to operate as a full-fledged port since beginning operations in 2015, despite its strategic location on the Bangladesh-India border and its potential to facilitate trade with India’s northeastern states.

Stone is the only commodity currently imported through the port, according to port sources.

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Managed by the Bangladesh Land Port Authority (BLPA), the port covers 13.46 acres and connects Bangladesh with the Dalu Customs Station in Barangapara, Meghalaya, on the Indian side.

Declared a land port in 2010, Nakugaon began operations in June 2015. It also has immigration facilities for cross-border passenger movement, said Md Jahidul Islam, additional director (Traffic) of the port.

Permissible imports include stone and boulders, coal, limestone, China clay, timber, chemical fertiliser, onions, chilli, garlic, ginger, fresh fruits, plants, seeds, wheat, quartz, fly ash and other goods.

Products originating in or processed in Bhutan can also be imported, with some exceptions. Bangladesh may export all legally exportable products through Nakugaon, subject to applicable regulations.

According to the BLPA, stone imports from India rose from 85,035 tonnes in FY2019-20 to 276,483 tonnes in FY2021-22. Imports peaked at 391,137 tonnes in FY2023-24 before falling to 195,655 tonnes in FY2025-26.

Although the port’s Importers and Exporters Association has 250 members, only around 35 local businessmen are currently involved in the stone trade, according to traders.

Md Mizanur Rahman, secretary of the association, alleged that prominent businessmen from both countries had lost interest in the business because stone had become expensive due to extortion by different groups on the Indian side.

Fahim Hossain Chowdhury, lawmaker for Sherpur-2 (Nalitabari-Nakla), recently discussed the issue of multi-purpose visas for businesspeople with the Indian high commissioner, Mizanur said.

“Multi-purpose visas would allow us to visit India whenever necessary, improve communication between businesspeople in the two countries and help expand trade in other goods permitted through the port,” Mizanur said.

He added that the initiative could also encourage people-to-people contact, tourism and business travel between northern Bangladesh and India’s northeastern region, provided passenger facilities and connectivity were developed alongside trade infrastructure.

Md Mustafizur Rahman Mukul, senior vice-president of the association, said the port’s direct connection with Meghalaya gave Bangladesh access to India’s northeastern market and offered opportunities for trade with and through neighbouring states.

He said the port’s dependence on stone was a major weakness, leaving it vulnerable to fluctuations in the construction sector, changes in import policy and disruptions in bilateral trade. Diversifying trade would help reduce these risks, he added.

Md Arif Hossain, president of the Sherpur Chamber of Commerce and Industry, said the port has a 400-tonne-capacity warehouse, transhipment yard, open-stack yard, parking yard, weighbridge, office facilities, dormitory, barracks and watchtowers. The authority also maintains arrangements for cargo-handling services.

He said making the port fully functional required an environment conducive to bilateral trade, supported by efficient customs clearance, adequate roads, predictable regulations, competitive transport costs and stronger links with traders on both sides of the border.

Port sources said revenue earnings had increased in recent years and could rise further if the port operated at full capacity.

The port earned around Tk 8.9 crore in FY2024-25, over Tk 10 crore in FY2025-26 and over Tk 37 lakh in the first two months of the current fiscal year.

Shankar Saha, vice-president of the Mymensingh Chamber of Commerce and Industry, said a fully functional land port with immigration facilities would generate substantial revenue for the government and create hundreds of jobs. He said the port had significant potential to boost economic activity in the region.