The 6th Joint Group of Customs (JGC) Meeting between India and Bhutan was held in Thimphu, Bhutan to discuss strengthening customs cooperation, facilitating cross-border trade, and reforming customs procedures in line with global best practices.
Key Highlights of 6th JGC Meeting
Key issues discussed to enhance trade and transit cooperation:
- Automation and digitization of transit processes.
- Coordinated Border Management (CBM): Integration of agencies at the border for smoother clearance.
- Pre-arrival exchange of customs data to speed up clearance and improve security.
- Customs Mutual Assistance Agreement (CMAA): Cooperation in investigation and prevention of customs offenses.
- Movement of transit cargo under Electronic Cargo Tracking System (ECTS): Use of technology to monitor cargo movement securely.s
India’s proposals:
- Extend capacity building programs to Bhutan in:
- Risk Management System (RMS).
- Authorised Economic Operator (AEO) Program.
- Food Safety Standards.
- Need-based training for Bhutanese importers and exporters.
Significance of JGC
- Enhances trade facilitation and boosts bilateral economic ties.
- Supports customs modernization and digital trade processes.
- Strengthens regional connectivity and aligns with India’s “Neighbourhood First” policy.
About Joint Group of Customs (JGC)
- Annual bilateral mechanism between India and Bhutan.
- Focuses on:
- Strengthening customs cooperation.
- Promoting cross-border trade facilitation.
- Reforming and re-engineering customs procedures aligned with international standards.
Importance of Land Customs Stations (LCSs):
- Bhutan is a landlocked country, making land trade crucial.
- Trade is conducted through 10 Land Customs Stations (LCSs) along the India-Bhutan border:
- 6 LCSs in West Bengal.
- 4 LCSs in Assam.
India–Bhutan Customs Cooperation
- India is Bhutan’s largest trading partner: Accounts for ~80% of Bhutan’s overall trade (imports + exports).
- Border customs cooperation is critical to ensure smooth, efficient trade.
About Bhutan:
| Parameter | Details |
| Official name | Kingdom of Bhutan |
| Local name | Druk Gyal Khap (“Land of the Thunder Dragon”) |
| Capital | Thimphu |
| Key trade hub | Phuntsholing (bordering India) |
| Political system | Parliamentary Monarchy |
| First democratic elections | 2008 |
| Head of State | King of Bhutan |
| Bordering countries | India (south, east, west), China (north) |
| Indian states bordering | Sikkim, West Bengal, Assam, Arunachal Pradesh |
| Longest river | Manas River (376 km; flows into India) |