India–Bhutan 6th Joint Group of Customs (JGC) Meeting

The sixth meeting of the India–Bhutan Joint Group of Customs (JGC) was recently convened in Thimphu, Bhutan.

Overview of Bhutan
  • Bhutan is a Himalayan nation without direct access to the sea, sharing borders with India on the south, east, and west, and with China (Tibet Autonomous Region) to the north.
    • Indian states that border Bhutan include Sikkim, West Bengal, Assam, and Arunachal Pradesh.
  • Thimphu serves as both the capital and the largest urban center of Bhutan.
    • Phuntsholing, situated near the India-Bhutan border, functions as the country’s main commercial and financial gateway.
  • Governance: Bhutan follows a parliamentary monarchy system.
    • The nation embraced democracy in 2008, holding its first democratic elections.
    • The monarch remains the ceremonial Head of State.
  • Official designation: Kingdom of Bhutan.
    • In the local Dzongkha language, it is referred to as “Druk Gyal Khap,” or “Land of the Thunder Dragon.”
  • Major River: The Manas River, stretching 376 kilometers, traverses southern Bhutan into India and plays a significant role in both ecology and trade.
Importance of India–Bhutan Customs Collaboration
  • India is Bhutan’s top trade partner, contributing around 80% to its total trade volume, which underscores the strategic need for robust border customs coordination.
  • As a landlocked country, Bhutan heavily depends on its Land Customs Stations (LCSs) for import and export. There are 10 such LCSs shared with India—six located in West Bengal and four in Assam.
  • The JGC serves as a bilateral platform that meets annually to enhance customs coordination, streamline border trade, and align procedures with international standards.

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