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India, Nepal step up fight against border smuggling and fake currency

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NEW DELHI: India and Nepal on Sunday agreed to step up efforts to curb smuggling , trans-border crime, and the circulation of fake currency, during a high-level meeting between their customs authorities held in Kathmandu.

The two-day 21st director general-level talks on customs cooperation took place on April 10-11, 2025, and covered a wide range of pressing issues. Both countries expressed concern over the smuggling of gold, narcotics, and fake Indian currency notes (FCN), which remain persistent challenges along the open Indo-Nepal border.

In a statement released by the finance ministry, India confirmed that both delegations discussed ways to tackle these issues through enhanced cooperation, regular exchange of intelligence, and stronger enforcement mechanisms

The agenda also consisted of reviewing ongoing initiatives, such as the memorandum of understanding on pre-arrival exchange of customs data and the electronic origin data exchange system (EODES). The talks also touched on the finalisation of the customs mutual assistance agreement (CMAA), upgrading border infrastructure, and the automation and digitisation of transit processes.

The electronic cargo tracking system (ECTS), which is designed to monitor cargo movement in real time, was also discussed as both nations aim to streamline and secure cross-border trade.

Commenting on the outcome of the meeting, the finance ministry said, "Issues related to trans-border criminal activities and smuggling of gold; narcotics; FCN, prohibited/restricted category of goods such as e-cigarettes, e-lighters, certain varieties of garlic and other cases of commercial frauds, including sensitive goods were also deliberated."

Both countries acknowledged that smuggling is a shared problem, and pledged to deepen collaboration to prevent cross-border crimes through proactive information-sharing and operational cooperation.

The Indian delegation was led by Abhai Kumar Srivastav, director-general of the directorate of revenue intelligence, while the Nepali side was headed by Mahesh Bhattarai, director-general of Nepal’s department of customs.

Officials on both sides welcomed the continued dialogue and expressed optimism about building a more secure and efficient customs system for the future.
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