Bangladesh Potato Exports Halve as Freight Costs Surge and Competition Intensifies

Bangladesh’s potato export sector has suffered a dramatic setback over the past fiscal year, with shipments through Chittagong port plunging by nearly half—from 40,543 tonnes to just 20,604 tonnes, a 49% decline. Export revenue followed suit, dropping 37.8% to $8.89 million, according to the exporters’ association. The primary culprit is the skyrocketing cost of shipping: container freight rates have leapt from roughly $2,500 to nearly $10,000 per container, driven by geopolitical tensions in the Middle East. This logistical nightmare has made Bangladeshi potatoes significantly less competitive in overseas markets.

Compounding the freight crisis are two additional headwinds. A bumper harvest in Egypt and Syria has crowded out Bangladeshi supplies from key Middle Eastern destinations, while prolonged storage leads to tuber sprouting, limiting the country’s ability to export year-round. Despite these challenges, Malaysia ($3.68M), Nepal ($3.52M), and the UAE ($0.77M) remain the top three destinations. Without urgent interventions on logistics, storage infrastructure, and market diversification, Bangladesh risks losing further ground in the global potato trade.