
India Suspends Railway Initiative Connecting Seven Sister States via Bangladesh
India has halted its ambitious railway connectivity initiative aimed at linking its northeastern states—often referred to as the Seven Sister States—with the mainland via Bangladesh. The decision comes amid concerns over political instability and safety of labor in Bangladesh.
The suspension affects at least three ongoing projects and puts survey work for five others on hold. These projects were designed to reduce dependence on the Siliguri Corridor, also known as the “Chicken’s Neck,” which is the narrow strip connecting India’s northeast to the rest of the country.
Key Projects Suspended
- Akhaura–Agartala Cross-Border Rail Link – A 12.24 km rail link, partially funded by India, meant to improve connectivity between Tripura and Bangladesh.
- Khulna–Mongla Port Rail Line – A broad gauge rail route connecting Mongla Port to Khulna, implemented under a concessional Line of Credit.
- Dhaka–Tongi–Joydebpur Rail Expansion – A project aimed at improving railway infrastructure around Dhaka.
India’s Alternative Plans
With the suspension of these projects, India is now exploring alternative transit routes through Nepal and Bhutan. A new ₹3,500–4,000 crore connectivity plan is reportedly under consideration to strengthen railway infrastructure in North India and establish new corridors through these neighboring countries.

India’s trade relationship with Bangladesh, valued at $12.9 billion in 2024, has been a cornerstone of regional economic ties. However, the recent halt in railway funding signals a shift in priorities as India recalibrates its connectivity strategy.
This development could reshape regional trade dynamics and impact cross-border movement between India and Bangladesh.