New customs rule impacts daily trade; India acknowledges concerns without escalation
April 23, 2026: India has taken note of reports regarding stricter customs checks by Nepali authorities along the border, which have triggered protests among local communities. Responding to the situation, Randhir Jaiswal, spokesperson for the Ministry of External Affairs, said that New Delhi is aware of the enforcement of an existing rule that imposes customs duty on goods valued above NPR 100 brought from India into Nepal.
Jaiswal stated that the measure appears aimed at curbing informal trade and smuggling, while also noting assurances from Nepali officials that ordinary people carrying household goods for personal use would not be affected. However, the rule—implemented around the Nepali New Year—has significantly impacted residents in the Terai region, where cross-border movement for daily essentials is common.
The decision has sparked protests, particularly among Madhesi communities, with demonstrators gathering at Maitighar Mandala in Kathmandu. Critics argue that the regulation disrupts livelihoods and long-standing cross-border ties, as even basic items like food and clothing now face scrutiny. Lawmakers and local groups have called for easing the restrictions, citing hardship for border populations.