Hilsa imports from India have stopped since Wednesday after the Department of Fisheries cancelled 103 no-objection certificates (NOCs) issued for the trade, with the department giving no specific reason for the move.

The certificates were cancelled in a letter signed last Tuesday by Dr Md Khaled Kanak, the department’s acting director-general.

Importers say the sudden halt has left them facing heavy losses. “The hilsa we bought over there was being held for import. Now it has to be returned at a low price, on top of what we have lost on import costs,” said Syed Mahidul Haque Rubai, an importer.

Relevant stakeholders believe the government may have acted on a mix of concerns: that Indian hilsa was being passed off as domestic Padma hilsa, that under-invoiced imports could create opportunities for money laundering, and that curbing imports would encourage interest in domestic hilsa production.

Port officials say imports rose recently as traders sought higher margins. Declared import prices ranged from 48 cents to $2 a kilogram, and consignments were released from port once duties were paid. Hilsa imported at around BDT 500 a kilogram was then sold as Padma hilsa for BDT 2,000 to BDT 3,000, according to complaints.

Asawadul Islam, an inspector at the fish and quality control office in Benapole, said imports had been halted on the department’s instructions and that Indian hilsa had stopped reaching Benapole market as a result. He said 535 tonnes had been imported this year.

Department of Fisheries data show 1,739.5 tonnes of hilsa from India had been approved for import this fiscal year, of which 535 tonnes had entered through Benapole land port by last Tuesday. Traders are waiting for further instructions on whether imports will be allowed under the remaining approvals.

Rafiqul Islam, a customer in Bejpara, Jashore, said imported Indian hilsa looks much like Padma hilsa, confusing buyers, who buy it thinking it is local hilsa because of its physical resemblance despite differences in taste. The imported fish is being sold for BDT 2,500 to BDT 3,000 a kilogram. The district administration recently fined several sellers during market monitoring over complaints that Indian hilsa was being sold at high prices.

Stakeholders also fear that a larger supply of Indian hilsa could weaken local fishermen’s incentive to catch the domestic variety.