At the 6th Joint Group of Customs (JGC) Meeting held in Thimphu (April 24–25, 2025), India and Bhutan reaffirmed their commitment to smoother, tech-driven cross-border trade. With initiatives like transit digitization, real-time cargo tracking, and pre-arrival data sharing, the two nations aim to reduce delays, enhance security, and modernize customs cooperation—deepening their already vital trade partnership.
Image Source: Freepik
In an era where efficient cross-border trade is crucial for economic growth, India and Bhutan have taken a significant step forward. The 6th Joint Group of Customs (JGC) Meeting, held in Thimphu on April 24–25, 2025, reaffirmed the commitment of both nations to modernize border operations, boost trade facilitation, and embrace digital transformation.
This two-day bilateral dialogue brought together senior officials from India’s Central Board of Indirect Taxes and Customs (CBIC) and Bhutan’s Department of Revenue and Customs (DRC), co-chaired by Mr. Surjit Bhujabal and Mr. Sonam Jamtsho respectively.
India is Bhutan’s largest trading partner, accounting for nearly 80% of the country’s overall trade. Bhutan, being landlocked, heavily relies on land Customs Stations in Indian states like West Bengal and Assam for import and export. Ensuring smooth, secure, and swift cross-border movement of goods is not just an economic priority—it’s a necessity.
Against this backdrop, the JGC meeting served as a timely platform to review existing mechanisms, iron out operational bottlenecks, and set the course for a smarter, digitally enabled customs regime.
1. Transit process digitization
The two sides agreed to accelerate the automation of transit procedures, aiming to cut down manual paperwork and reduce cargo delays. This will particularly benefit Bhutanese exporters who rely on Indian routes to access global markets.
2. Electronic cargo tracking system (ECTS)
Discussions included the rollout of real-time cargo tracking using ECTS. This system is expected to enhance visibility and transparency across the supply chain, curbing pilferage and improving cargo security.
3. Coordinated border management (CBM)
India and Bhutan are now working towards better coordination at key border points. By integrating efforts between customs officials of both nations, inspections will become more efficient, reducing congestion and transit times.
4. Pre-arrival data exchange
Another major highlight was the proposal to enable advance sharing of customs data. By knowing what goods are coming in and going out beforehand, authorities can conduct faster risk assessments, thereby speeding up clearance processes.
5. Strengthening the Customs Mutual Assistance Agreement (CMAA)
The two countries pledged to reinforce the legal and operational framework to combat customs violations. This includes better intelligence sharing and coordinated action to detect fraud, misdeclaration, and smuggling.
These initiatives are not just bureaucratic measures—they have direct and tangible impacts on trade facilitation. Faster customs clearances, transparent tracking systems, and secure borders collectively lower the cost and time of doing business across borders.
For Bhutanese businesses, this translates to better access to markets and more predictable delivery timelines. For Indian customs authorities, streamlined procedures and digital coordination reduce workload while enhancing control.
In the long term, this collaborative effort also sets the tone for a rules-based, digitally connected trade ecosystem in South Asia—one that can accommodate greater volumes of trade without compromising on security or compliance.
The meeting concluded with both nations reaffirming their shared vision of a modern, secure, and facilitative customs partnership. As regular dialogues continue and digital tools become more embedded, India and Bhutan are poised to unlock greater value from their already strong bilateral trade relationship.
The 6th JGC meeting wasn’t just about refining policies—it was about future-proofing a friendship rooted in trust, trade, and regional cooperation.
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