Bangladesh to import 180,000 tonnes of diesel from India

Bangladesh will import 180,000 tonnes of diesel from India’s state-owned Numaligarh Refinery Limited (NRL) by December this year at a cost of 14.62 billion taka.

The proposal was approved by the Advisory Committee on Government Purchase at a meeting held in Dhaka on Wednesday, chaired by Finance Adviser Salehuddin Ahmed. The diesel will be imported by the state-run Bangladesh Petroleum Corporation (BPC), with part of the payment made directly by BPC and the remaining amount financed through bank loans.

According to sources, the import cost has been finalised at $119.13 million following negotiations with NRL, a subsidiary of Oil India Limited. The pricing includes a premium of $5.50 per barrel over a base price of $83.22 per barrel, which will be adjusted in line with international market rates.

Speaking to reporters, Power, Energy and Mineral Resources Adviser Muhammad Fouzul Kabir Khan said the import is being carried out under a 15-year long-term agreement signed during the tenure of the previous government.

NRL’s refinery is located in Assam. Diesel is transported to Siliguri and then supplied to Bangladesh through the Bangladesh-India Friendship Pipeline, which became operational in December 2022.