India, Nepal set agenda to boost trade while curbing smuggling

India and Nepal held their Inter-Governmental Sub-Committee (IGSC) on Trade, Transit and Cooperation to Control Unauthorised Trade on September 16-17, 2026, to review bilateral trade mechanisms and explore ways to enhance legitimate commerce between the nations. The meeting brought together officials responsible for trade policy, customs operations, and border management from both countries to assess existing frameworks and identify areas for improvement. The discussions reflected the dual focus of enhancing trade facilitation for legitimate businesses while simultaneously tightening controls against smuggling and unauthorised commercial activity. Officials examined procedural bottlenecks at border crossings, reviewed tariff structures, and discussed mechanisms for better coordination between Indian and Nepalese customs authorities. The sub-committee, established as a platform for addressing trade-related issues, serves as a crucial forum for resolving disputes and implementing cooperative measures that benefit both economies. Given India's significant trade relationship with Nepal and the substantial transit commerce flowing through Indian territory to third countries, the meeting underscored the importance of maintaining robust regulatory frameworks that balance openness with security concerns. Both delegations indicated their intention to maintain regular engagement on these matters and to work toward concrete outcomes in their next meeting.