Why do Nepalese people shop in Indian markets? Has anything changed after the tax rule on goods worth Rs 100?

New Delhi: Nepal has tightened the noose on its citizens returning from shopping in India. Now, if you bring goods worth more than 100 Nepali rupees i.e. about 62 Indian rupees, you will have to pay custom duty. The checking at border posts has become so stringent that even for small purchases one has to stand in queues for hours. Since Balen Shah’s government came to power, it has become a dream for the people living across the border to bring cheap goods from Indian markets.

Why did people of Nepal do shopping in India? 

Let us tell you that Indian markets have been the first choice for the Nepalese in the border areas. The reason is simple: a big price difference. The Nepalese rupee is definitely weaker than the Indian rupee, but the price of goods in Nepal is beyond the reach of the common man.

On the other hand, clothes, electronics and everyday goods are available much cheaper in the border markets of India. Variety and quality are also better. Indian market is big. There is more competition here, so things are available at lower prices.

Apart from this, taking advantage of the open border policy, Nepali people were till now dependent on India for everything from salt to wedding clothes. This was a cheaper and easier option for them. Now this option is becoming expensive.

Up to 80% tax imposed on even Rs 62   

According to media reports, earlier there were relaxations in the rules. People could bring household goods worth Rs 200 to Rs 500 without tax. Now the situation has changed. If a Nepali citizen buys goods worth just Rs 62 from India, he has to pay 5% to 80% tax at the border.

This is called Bhansar fee. If someone does not pay the fee, the goods are confiscated within 24 hours. Security on the border has been increased so much that people are worried. Even for small purchases one has to face paperwork and lengthy enquiries.

Increase in inflation in Nepal has affected the pockets of the poor. 

According to the information received, when cheap goods stopped coming from India, local shopkeepers of Nepal have increased the prices. They are selling the stock held with them at higher rates. Its direct impact is on poor and low earning families. There is a fear that this will wipe out people’s savings. Living in border areas will become expensive. You will have to spend more money for everyday things. Many families are already in trouble.

Cultural relations between the two countries are also under threat   

It is noteworthy that due to all these developments, the biggest concern is regarding the historical relations between India and Nepal. The relationship between the two countries is considered to be ‘Roti-Beti’. Weddings take place on both sides of the border. Business partnership continues. People come and go for work and relationships.

Now due to tax and strict checking, the movement of people may reduce. Imagine, if even for bringing a simple saree or a box of sweets one has to face heavy taxes and hours of checking, then who will come again and again? It will become difficult to maintain social relationships.

After the change of power in Kathmandu, local bodies have also become strict. The result is that relationships that have been going on for centuries now seem to be eclipsed. For the common Nepali, bringing back bags full of goods from India has now become a thing of the past. Pockets are also becoming loose and the distance between hearts is also increasing.