Customs Regulations at Nepal-India Border Post Create Hardships for Local Residents

Since May 28, the government has enforced a rule requiring mandatory customs duties on goods valued over 100 rupees at Nepal-India border crossings. Residents of the Madhesh Province border areas have reported increasing economic and social difficulties due to the stricter customs enforcement. DIG Krishna Dhakal, head of the Armed Police in Madhesh Province, stated that the purpose of enforcing the rule is to increase government revenue and promote a culture of tax compliance.
On April 19, in Janakpur Dham, around 3:30 p.m., Sangita Yadav of Jaleshwar, Mahottari, was distressed as she crossed from Bheetamod, India, to Nepal carrying a sack of rice on her head. Having gone to the Indian market to buy rice and other items, she only learned at the border that any goods worth more than 100 rupees require mandatory customs duties. Consequently, she returned with just one 20-kilogram sack of rice. “I had paid for vehicle fare to reach the market, but only upon arrival did I realize customs enforcement had been tightened. That’s why I only brought back one sack of rice. I’m not sure if I will still have to pay customs on this,” she explained.
The government has recently tightened customs collection enforcement at the Nepal-India border. The Armed Police have been broadcasting announcements at border points, informing the public about the mandatory customs payments on goods exceeding 100 rupees in value. Although this rule was officially implemented on May 28 under Section 13(3) of the Customs Revenue Act 2024, earlier lax enforcement meant the rule was not strictly applied. After directives from the Ministry of Home Affairs, enforcement has become more stringent, causing concern among residents of the border region.
Attracted by cheaper prices, many border residents depend heavily on Indian markets. According to Sangita Yadav, “If we could buy food grains at affordable rates within Nepal, poor people like me wouldn’t have to go to India. The government has not provided any support locally; instead, it has imposed stricter regulations. Everything is expensive here, so how can poor people survive?”
However, DIG Krishna Dhakal of the Armed Police Madhesh Province clarified that the police’s intentions are not to cause hardship but to enforce government orders. “Our goal is to increase revenue and cultivate a culture of tax payment. There is no room for compromise on this,” he stated. Nevertheless, criticism of the rule has emerged even within political circles. Some members of the ruling party have begun to call for reconsideration of the rule, taking into account the difficulties faced by residents of the border areas.





