Bangladesh Tensions Shake India’s Sari Trade

Political turmoil in Bangladesh is affecting India’s sari industry in mixed ways, with some traders facing losses while others benefit.

In Varanasi, the renowned center of Banarasi saris, many weavers report declining exports to Bangladesh. Mohammed Ahmad Ansari, a 55-year-old Banarasi sari artisan, said that sales have dropped by more than 50 percent due to trade restrictions imposed after diplomatic tensions escalated last year. The recent political changes in Bangladesh, coupled with import restrictions, have halted shipments and delayed payments for Indian traders. Pawan Yadav, a wholesale trader in Varanasi, noted that he is still owed over 1.5 million rupees ($17,000) by clients in Bangladesh.

Banarasi saris, known for their intricate zari work and luxurious silk, are a staple for weddings and festivals in Bangladesh. The Varanasi industry, which employs thousands and generates substantial export revenue, has already been hit in recent years by policy changes, the pandemic, and competition from power-loom saris produced elsewhere in India.

Meanwhile, in West Bengal, the story is different. Traders in Shantipur and surrounding districts are seeing a revival in demand for local cotton saris as Bangladeshi imports face restrictions. Tarak Nath Das, a cotton sari trader in Shantipur, reported a 25 percent increase in sales during the recent Durga Puja festival. Local artisans and traders are reclaiming market share previously dominated by cheaper Bangladeshi saris, boosting confidence and income in the region.

The Indian textile sector remains one of the country’s largest employers after agriculture, with saris forming a significant portion of its output and exports. While Varanasi struggles due to halted trade, regions like West Bengal are benefiting from the reduced competition, highlighting how international politics can have uneven impacts on local industries.

Industry experts emphasize the need for government support to stabilize the sari trade, ensure fair compensation for artisans, and promote Indian handlooms as premium products in both domestic and international markets.