India introduces electronic tracking system for Nepal-bound cargos

India has introduced a new trans-shipment procedure using an electronic tracking system to facilitate the transport of Nepal-bound transit cargos from Kolkata, a significant move that will simplify border formalities, reduce transit time, ensure safety of the consignments and boost bilateral trade.

The Electronic Cargo Tracking System (ECTS) was introduced by the Central Board of Indirect Tax and Customs on Friday, according to a statement issued by the Indian embassy in Kathmandu.

This is a significant step towards automating customs transit facilitation between the two countries and renews the commitment of government of India to improve the transit facilities for Nepalese trade, it said.

This modality has been introduced on a pilot basis on rail routes from Kolkata/Haldia to Birgunj via Raxaul LCS and Biratnagar via Bathnaha Railway Station and Jogbani LCS, it added.

"Under the new mechanism, the need for Nepalese traders to seek permission and file transit declaration is done away with," the embassy said.

The ECTS offers the facility of sealing the containers using high security electronic seals, having tracking functionality embedded in them.

This new modality would immensely benefit Nepalese traders as it would ensure safe and secure transit, simplified border formalities, reduction in transit time and transaction cost and improved shipment visibility, the statement said.

A similar facility for Nepal-bound transit cargo had been introduced on pilot basis in August, 2018 from Vishakhapatnam port.