Bangladesh Experts Oppose Foreign Ownership Hike in Logistics

Bangladesh is facing industry pushback on a proposal to increase foreign ownership limits in its logistics sector. Expert stakeholders are urging the government to withdraw this initiative, signaling concerns about how liberalized foreign investment could reshape the domestic logistics landscape and potentially disadvantage local operators.

This regulatory dispute reflects broader tensions in emerging markets between opening doors to foreign capital and protecting domestic supply chain infrastructure. For multinational companies operating in Bangladesh or using it as a regional hub, the outcome will determine their ability to directly invest in or acquire logistics assets, potentially affecting their supply chain flexibility and cost structure in South Asia.

The industry's resistance suggests that liberalizing foreign ownership, while potentially bringing capital and efficiency gains, may fragment the market, increase competitive pressure on local firms, and create regulatory uncertainty. Supply chain professionals should monitor this policy debate closely, as a change in foreign ownership rules could either unlock new partnership opportunities or trigger consolidation and restructuring among regional logistics providers.