Bangladesh has approached India for additional diesel supplies as concerns grow over fuel availability amid global energy disruptions linked to the ongoing conflict in the Middle East. The request reflects rising pressure on Dhaka’s energy system, which depends heavily on imported fuel for power generation and transportation.
According to sources cited by CNN-News18, Bangladesh has formally asked India to provide an additional 50,000 metric tonnes of diesel between March and June to help stabilise domestic fuel reserves and prevent potential shortages.
According to a Reuters report, around 5,000 metric tons of diesel has been supplied through a cross-border pipeline from India’s Numaligarh Refinery. The report quoted officials saying talks are ongoing to secure some 30,000 metric tons from Indian Oil.
"According to the agreement, at least 90,000 tonnes of diesel should be imported to Bangladesh within six months. The consignment arriving today is 5,000 tonnes, and we hope that within the next two months, we will bring in the total diesel amount for the entire six months", BPC chairman said.
The shipment reached the Parbatipur depot in Dinajpur, northern Bangladesh, from the Numaligarh refinery in Assam through the Bangladesh-India Friendship Pipeline. The pipeline, inaugurated in March 2023 by Prime Minister Narendra Modi and then Bangladesh Prime Minister Sheikh Hasina, carries diesel from Numaligarh in India to the Parbatipur depot in Bangladesh.
Request conveyed during diplomatic meeting
The request was conveyed during a meeting on March 9 between Bangladesh’s Finance Minister Amir Khasru Mahmud Chowdhury and India’s High Commissioner to Bangladesh Pranay Verma, sources told CNN-News18.
Bangladesh’s energy supply chain has been under strain due to disruptions in global fuel markets caused by the ongoing Iran-related conflict in the Middle East. The situation has pushed up prices and increased pressure on countries that rely heavily on imported energy.
Bangladesh imports large volumes of oil, gas and coal to meet its energy needs, making it particularly vulnerable to fluctuations in global supply.
Existing diesel supply agreement with India
Bangladesh already receives diesel from India under a bilateral energy agreement that includes supplies through the India-Bangladesh Friendship Pipeline as well as shipments from India’s Numaligarh Refinery.
Under the existing arrangement, India supplies 180,000 tonnes of diesel annually to Bangladesh through the pipeline.
Muhammad Rezanur Rahman, chairman of the Bangladesh Petroleum Corporation (BPC), confirmed that recent shipments are part of the existing supply framework.
“We have an agreement with India, and according to that agreement, India will supply 180,000 tons of diesel to Bangladesh via the pipeline each year. The 5,000 tons of diesel that is arriving now is a part of that agreement,” Rahman told ANI.
He also explained how the supply schedule is structured under the agreement.
“According to the agreement, at least 90,000 tons of diesel should be imported to Bangladesh within six months. The consignment arriving today is 5,000 tons, and we hope that within the next two months, we will bring in the total diesel amount for the entire six months,” he said.
Government sources told CNN-News18 that an initial 5,000 tonne diesel shipment arrived on March 10. India is currently reviewing the additional request for 50,000 tonnes and is expected to respond under the terms of the bilateral energy agreement.
Officials also noted that India remains committed to maintaining strong ties with Bangladesh, particularly as Dhaka navigates its current energy challenges.
Government moves to prevent fuel hoarding
As supply pressures grow, the Bangladesh government has also taken steps to prevent fuel hoarding and black market activity.
Earlier this week, authorities conducted inspection drives across petrol stations to check stock levels and ensure compliance with fuel distribution regulations.
In a statement, the Bangladesh Energy Ministry said that concerns had emerged about illegal stockpiling.
“In the current crisis situation, various media outlets have reported that some unscrupulous traders are illegally stockpiling fuel in an attempt to create an artificial shortage in the market,” the ministry said.
The government has introduced limits on fuel distribution based on vehicle categories to prevent panic buying and hoarding.
However, officials said violations were still being detected during inspections.
“To address this crisis, the government has already fixed fuel supply limits based on vehicle categories. Nevertheless, it has been observed that at various petrol pumps/filling stations, fuel is being sold in excess of the government-approved limit, additional stock is being hoarded for excessive profit, and there are tendencies of selling fuel on the open market and engaging in smuggling,” the statement added.
Enforcement operations across Dhaka
Authorities have launched mobile court operations to enforce the rules and prevent illegal fuel trading.
These operations are being conducted by executive magistrates in several locations across Dhaka.
Officials inspected petrol stations including City Filling Station in Tejgaon, which was reported to have run dry temporarily and is expected to resume operations once new fuel supplies arrive.
Another station, Clean Fuel in Tejgaon, was found to be operating in compliance with government regulations.
Energy vulnerability highlighted
The developments underline Bangladesh’s vulnerability to global energy shocks. With limited domestic fuel production and heavy dependence on imports, the country remains exposed to disruptions in international oil markets.
As the Middle East conflict continues to affect supply chains and push up prices, Dhaka is increasingly relying on regional partnerships, particularly with India, to ensure stable fuel availability in the coming months.
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