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

April 29, 2025

The 6th Joint Group of Customs (JGC) Meeting between India and Bhutan was held recently in Thimphu, Bhutan.

Key Facts about Bhutan

  • Bhutan is a landlocked Himalayan country, bordered by India to the south, east, and west, and China (Tibet Autonomous Region) to the north.
    • Indian states bordering Bhutan: Sikkim, West Bengal, Assam, and Arunachal Pradesh.
  • Thimphu is the capital and largest city of Bhutan.
    • Phuntsholing is Bhutan’s key financial and trade hub, located along the India-Bhutan border.
  • Political System: Bhutan is a parliamentary monarchy.
    • It transitioned to democracy in 2008 with the first democratic elections.
    • The King of Bhutan remains the Head of State.
  • Official name: Kingdom of Bhutan.
    • Local name: Druk Gyal Khap, meaning "Land of the Thunder Dragon".
  • Longest River: The Manas River (376 km), a transboundary river flowing through southern Bhutan into India, forms an important ecological and trade corridor.

Significance of India–Bhutan Customs Cooperation

  • India is Bhutan’s largest trading partner, accounting for about 80% of Bhutan’s total trade, making border customs cooperation vital for both countries.
  • Bhutan, being a landlocked country, relies heavily on Land Customs Stations (LCSs) for trade. There are 10 India-Bhutan LCSs6 in West Bengal and 4 in Assam.
  • The JGC is an annual bilateral mechanism aimed at strengthening Customs cooperation, facilitating cross-border trade, and reforming customs procedures in line with global best practices.

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