Indian traders in Phuentsholing in a fix over cancellation of trade licence

RAJESH SHARMA, EOI, JAIGAON, NOVEMBER 26, 2022: A group of Indian traders from Jaigaon doing business in Phuentsholing in Bhutan has submitted a letter to the Indian embassy in Thimphu saying their trade licences have been cancelled by the Bhutanese authorities as they had closed their shops and returned to India during the Covid – induced lockdown.

Now that the Covid situation has eased, they want to return to Phuentsholing and reopen their shops, but are unable to do so as the Bhutanese authorities have refused to renew their trade licences.

The letter, sent through the Indian consulate in Phuentsholing, has been signed by 22 traders along with their respective licence numbers and mobile phone numbers.

Among these are vegetable shops, grocery shops, cloth shops, footwear and shoe repairing shops, haircutting salons and an eatery. 

According to the letter, these traders were doing business in Jaigaon for the last 40 to 50 years, abiding by all the rules laid down by the Royal Government of Bhutan.

“On the sudden lockdown in the last week of March 2020, we closed our shops and came to our residence in Jaigaon and thereafter most of us could not return to continue with the trade over there. The gate at the entry point in Bhutan at Phuentsholing was sealed.

”Subsequently, some of the Indian traders residing in Jaigaon had applied to the competent authorities in Bhutan for obtaining permission to enter Phuentsholing, but after along wait only a few were allowed; and that also restricted to the licence holder. 

“Even the wife was not allowed to accompany. ”Only a few of them could adjust in Phuentsholing, others returned as the lockdown-related restrictions were tough in Bhutan and they could not maintain themselves alone in Phuentsholing.

“Now the situation of Covid-19 has normalized and we want to return to Phuentsholing and continue to operate our business on a regular basis. But the Regional Trade Office is not ready to renew and revalidate our trade license on the basis that the trade was not in operation for more than six months continuously. Rather the Bhutan trade authorities intend  us to undergo a written agreement to windup our business and leave Bhutan within a short period of two to three months".

It was learnt that while these traders were permanent residents of Jaigaon, earlier they used to stay in Phuentsholling in rented accommodation with their families. A few had even purchased land and set  up their own accommodation.

Since the introduction of the new tourism policy in Bhutan, anyone crossing the gate at the entry point to Phuentsholing has to pay Rs10 and an equal amount while returning. For taking an Indian vehicle to Phuentsholing crossing the gate, the charge is Rs 50 and the same amount while returning. 

Any Indian staying overnight at Phuentsholing has to pay Rs1,200 per night as asustainable developmentfee. In this, no distinction has been made between tourists and traders.

It was learnt that there were 67 Indian licence holders doing business in Phuentsholing before the beginning of the lockdown in March 2020. 

Those who are still running their business in Phuentsholing now have to return to Jaigaon at night to avoid paying the sustainable development fee. 

It may be mentioned that, according to a report in Bhutanese newspaper Kuensel, between January 2020 and September 2021 a total of 115 Bhutanese nationals doing business in Phuentsholing voluntarily cancelled their trade licences. This was following the promulgation of a new law in Bhutan banning businesses which functioned as fronts of non-Bhutanese traders. Among these were bars, restaurants and workshops