Border Tightening Boosts Birgunj Market, Raxaul Market Sees Decline
Summary
Tightening customs controls at the Nepal-India border has shifted shopping activity from the Raxaul market to the Birgunj market, boosting local businesses and reducing smuggling.
Key Points
- The Indian border market of Raxaul has become sluggish due to tightened customs by the Nepalese government.
- Birgunj market businesses have increased by about 25-30% since customs were tightened at the border.
- The tightening of customs has helped reduce informal imports, Hundi transactions, and drug influx from border areas.
- About one thousand businessmen and nine thousand employees are affected by road expansion and market activity changes in Birgunj.
