Bangladesh is looking to buy wheat from India to meet its domestic demand, as global supply disruptions due to the ongoing West Asia conflict tighten the market.
Traders of both countries are engaged in negotiations to close deals, with India allowing outbound shipments of 2.5 million tonnes of wheat and an additional 500,000 tonnes of wheat-based products.
Indian wheat was more expensive due to a federally fixed floor rate, but disruptions in fertiliser supplies have ratcheted up global demand for food, making the Indian variety a more attractive option for Bangladeshi buyers.
The trade between the two countries had taken a blow after both slapped restrictions on border trade in the aftermath of the July 2024 uprising in Bangladesh.
Despite extreme weather damaging winter-sown wheat, the impact is not expected to be large, with initial surveys showing output loss should not be more than 2%.
