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India-Nepal Customs Talks: Cooperation Against Smuggling

14 April 20251 min read
INTERNATIONAL AFFAIRSIndia-NepalCustoms Talks:CooperationAgainst Smuggling14 April 2025safalsetu.com

Why in the news

Customs chiefs of the two neighbours met in Kathmandu and agreed on steps to make cross-border trade smoother and to curb illegal movement of goods.

Key facts

  • Level of talks: Director General level, in Kathmandu.
  • Agenda: customs operations, trade efficiency, border infrastructure and transborder crime.
  • Technology: new tools to be adopted to facilitate trade and stop smuggling.
  • Policy link: India is a key trading partner for Nepal under its ‘Neighbourhood First’ approach.

Delegations

SideLeaderOffice
IndiaAbhai Kumar SrivastavDirector General, Directorate of Revenue Intelligence, CBIC
NepalMahesh BhattaraiDirector General, Department of Customs

Agreements in focus

  • Customs Mutual Assistance Agreement: to be finalised for better collaboration.
  • Pre-arrival exchange of customs data: progress on the MoU to be reviewed.
  • Both sides accept smuggling as a shared problem and committed to joint efforts.

Significance

  • Expected economic benefits for both economies and stronger border security.
  • Trade ties matter greatly to Nepal because of its export dependence on India.

Exam angle

  • Talks venue: Kathmandu.
  • Indian agency in the delegation: CBIC (DRI).
  • Policy term: Neighbourhood First.

Test yourself

1. Where were the India-Nepal director general-level customs talks held?

The talks took place in Kathmandu.

2. What share of Nepal's exports does India account for, according to the report?

India accounts for nearly two-thirds of Nepal's exports.

3. Which MoU progress did the two countries plan to review in their customs talks?

They will review the MoU on exchanging customs data before goods arrive.