The Ministry of External Affairs (MEA) acknowledged reports of Nepal imposing customs duty on cross-border travelers carrying goods purchased in India exceeding NPR 100. MEA spokesperson Randhir Jaiswal stated that India is in communication with Nepal regarding this matter. The enforcement of this provision aims to curb informal trade and smuggling, as clarified by a senior Nepali official.
The decision to implement customs duties on items valued above NPR 100 from Indian towns has faced criticism in Nepal’s border areas. Despite the rule existing for years, practical challenges had hindered its enforcement until recently. The move by the new government to enforce this rule has triggered opposition from local stakeholders, urging a revision of the customs policy.
The Nepal-India Open Border Interaction Group has called for a revision of the customs policy, emphasizing the historical ties between the two countries. They advocate for practical measures to facilitate cross-border movement and enhance grassroots relations. The group demands the removal of customs duties on goods exceeding NPR 100, proposing zero duties for household items and advocating for improved markets in border regions.
Nepal’s Department of Customs Director highlighted that the customs duty enforcement targets smuggling activities. The stricter implementation is expected to benefit traders in Nepal’s border towns, aiming to prevent smuggling practices and support local businesses.
