Export-import through Jogbani customs stalls

Mon, Aug 4, 2014 12:00 AM on Others, Others,

BIRATNAGAR, AUG 04 - No trade has been conducted through Jogbani customs on the Indian border for the last three days as Indian customs officials Nepal’s export- imports demanding inflated inspection fees.

The traders said that formerly the customs officials used to verify the authenticity of their documents, but now they have hiked the fee which they are unwilling to pay.

“The volume of imports and exports have remained small for the last few days,” said Lab Adhikari, officer at the Biratnagar Customs Office on the Nepali side of the border. The slowdown in trade has led to a decline in revenue collection. The customs office used to collect revenue worth Rs 35 million daily which has now dropped to zero, said officials.

Abinash Bohara, immediate past president of the Morang Business Association, said that the disruption in the flow of goods was caused by Nepali traders refusing to pay the fees demanded by customs officers.

Around 165 vehicles enter the country with imported goods through the customs office while about 50 vehicles go in the other direction carrying export products.

“We used to pay up to IRs 4,000 to the customs officials to have our vehicles inspected. Now their demand has doubled to IRs 8,000,” said Bohara. “Traders are compelled to pay up to IRs 10,000 for vehicles transporting goods imported from third countries.”

The refusal by Nepali traders to pay the hefty fees has led to around 300 loaded trucks being stuck at the customs point for the past last three days. Since Indian officials have not completed the checking procedure for these trucks, they have been running up Rs 2,500 per day in detention charges.

Sashank Yadav, commissioner at India’s Jogbani customs, said that the traders had stopped imports and exports after the customs office tried to carry out procedures as per the legal provision. According to Yadav, they have been asked to compulsorily check the required documents before completing the inspection procedure.

“We have not cleared those vehicles which have failed to produce the necessary paperwork,” said Yadav, adding that there was no issue regarding additional fees.

Around two years ago, India’s Central Bureau of Investigation (CIB) had booked seven officials along with the customs commissioner on the charge of demanding more fees from importers.

The situation at the customs point had improved after that.

Source: The Kathmandu Post