CURRENT AFFAIRS
CURRENT AFFAIRS
Description
The 6th edition of the Joint Group of Customs (JGC) Meeting between India and Bhutan was recently convened in Thimphu, the capital city of Bhutan. This annual engagement aims to enhance customs cooperation, streamline border trade processes, and improve the efficiency of customs administration between the two neighboring countries.
Background On Bhutan: Key Geographical And Political Features
Bhutan, officially known as the Kingdom of Bhutan, is a small but strategically located landlocked Himalayan nation. It shares its borders with India on the south, east, and west, and with the Tibet Autonomous Region of China to the north.
Capital: Thimphu
Major Trade Town: Phuntsholing (situated at the India-Bhutan border) is Bhutan’s commercial gateway and financial hub.
Political Structure: Bhutan operates under a parliamentary monarchy, having transitioned to a democratic system in 2008, while retaining the monarchy. The King of Bhutan continues to serve as the ceremonial Head of State.
Local Name: In Dzongkha, Bhutan is referred to as Druk Gyal Khap, or the “Land of the Thunder Dragon”.
Longest River: The Manas River, a key transboundary water body measuring about 376 km, flows from Bhutan into India. It holds ecological, cultural, and trade significance in the region.
India-Bhutan Customs Cooperation: A Vital Partnership
India and Bhutan enjoy a robust and friendly bilateral relationship, especially in trade. India stands as Bhutan’s largest trading partner, contributing to around 80% of its total foreign trade. Given Bhutan’s landlocked status, customs cooperation and land-based trade routes are crucial for its economic functioning.
Land Customs Stations (LCSs): Bhutan relies on 10 LCSs located along the border with India to conduct its cross-border trade. These include: 6 in West Bengal, 4 in Assam
These LCSs are essential for the import and export of goods, ensuring seamless logistics and minimizing delays at the border.
About Joint Group Of Customs (JGC) Mechanism
The JGC is an institutionalized bilateral platform established to:
Enhance coordination between Indian and Bhutanese Customs authorities.
Modernize customs procedures in line with international best practices.
Facilitate ease of doing cross-border trade by improving the regulatory framework.
Promote the use of digital systems and harmonized standards to reduce bottlenecks.
The 6th JGC meeting focused on improving infrastructure at border posts, adopting technology-driven customs systems, and enhancing capacity-building programs for customs officers from both sides.
This forum also contributes to broader regional connectivity goals and aligns with India’s “Neighbourhood First” and Act East policies.
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