The Trafficking in Persons Report 2015 said 90 per cent of India's trafficking problem is internal, and those from the disadvantaged social strata are the most vulnerable.
The annual report, released by US Secretary of State John Kerry, said trafficking within India continues to rise due to increased mobility and growth in industries utilising forced labour.
Stating that the Indian government does not fully comply with the minimum standards for the elimination of trafficking, it recommended New Delhi to cease the penalisation of trafficking victims, including restrictions on their travel and increase prosecutions and convictions for all forms of trafficking.
Children, reportedly as young as 6, are forcibly removed from their families and used by terrorist groups such as the Maoists in Bihar, Chhattisgarh, Jharkhand, Maharashtra, West Bengal, and Odisha to act as spies and couriers, plant improvised explosive devices, and fight against government.
Boys from Bihar are subjected to forced labour in embroidery factories in Nepal. Experts estimate millions of women and children are victims of sex trafficking in India.
Children continue to be subjected to sex trafficking in religious pilgrimage centres and tourist destinations.
A large number of Nepali, Afghan, and Bangladeshi females- the majority of whom are children - and women and girls from Asia and Eurasia are subjected to sex trafficking in India.
Prime destinations for female trafficking victims include Kolkata, Mumbai, Delhi, Gujarat, and along the India-Nepal border, the report said.
Traffickers pose as matchmakers, arranging sham marriages within India or to Gulf states, and then subject women and girls to sex trafficking, it said.
Some corrupt law enforcement officers protect suspected traffickers and brothel owners from enforcement of the law, take bribes from sex trafficking establishments and sexual services from victims, and tip-off sex and labour traffickers to impede rescue efforts, the State Department said.
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