Border residents in Nepal are up in arms against the government’s crackdown on duty-free shopping from India. The rule taxing purchases exceeding 100 Nepali rupees from nearby Indian bazaars – a lifeline for cheap goods – is being enforced more rigorously than ever, fueling accusations of economic sabotage.
Though on the books for years, practical hurdles had kept the provision dormant. The shift under the current regime has locals fuming, with community leaders mobilizing against what they call an assault on everyday affordability.
On Saturday, the Nepal-India Open Border Dialogue Group issued a scathing ultimatum: revise the customs rules now or face escalating unrest. Citing deep-rooted interconnections spanning history, they appealed for policies that honor free movement and mutual prosperity.
Their manifesto pushes for outright elimination of the 100-rupee threshold duty, particularly hitting poor households hardest. Alternatives proposed include tax-free domestic-use items, border market upgrades for affordable access, and pilgrim perks – like 48-hour duty exemptions for faith-based travel to invigorate religious tourism.
Countering the criticism, Customs chief Kishor Bartoula emphasized anti-smuggling imperatives. He revealed how traffickers disguise bulk hauls as personal parcels via unsuspecting carriers. The duty, though not a revenue bonanza, disrupts these rackets and could revitalize Nepali merchants, he added.
This clash underscores a broader dilemma: safeguarding revenues without fracturing the seamless India-Nepal bond. With voices growing louder, Kathmandu faces pressure to recalibrate before resentment boils over into larger action.
