Home Minister Thapa seeks China’s support to combat gold smuggling

Kathmandu, June 5

Minister for Home Affairs Ram Bahadur Thapa has sought China’s help to check smuggling of gold via the northern border.

Minister Thapa requested Chinese Ambassador Yu Hong for the support of China to the Government of Nepal’s endeavour to dismantle the web of smuggling and customs evasion which is causing negative impact on revenue generation.

An official at the Ministry of Home Affairs said Ambassador Yu had paid a courtesy call on Minister Thapa at the latter’s office in Singha Durbar. “During the meet, Minister Thapa alerted the Chinese ambassador about smuggling of gold and dollars from and to China and sought the neighbouring country’s support to prevent and control it,” the official said.

In response, Ambassador Yu said she would discuss the issue of gold smuggling via the Chinese border with the authorities concerned in her country. She praised the Government of Nepal’s effort to control anti-China activities in Nepal and urged the MoHA to make it more effective. Ambassador Yu also said that China was committed to continuing the training and logistics support to Nepali security agencies even in the days to come, according to the MoHA.

Acknowledging the Chinese support to security bodies in Nepal, Minister Thapa told the Chinese ambassador that Nepal would not let its soil be used for anti-China activities as it was committed to One-China policy.

According to Nepal Police, most of the smuggled gold enters Nepal through Tatopani of Sindhupalchowk and Rasuwagadhi of Rasuwa from Hong Kong and China via Tibet while the gold entering from the TIA mainly comes from Dubai, Thailand and Malaysia.

A larger share of smuggled gold is pushed into India through the porous border by making Nepal its transit. The government imposes a customs duty of Rs 420,000 per kg gold while selling it to jewellers through commercial banks. The smugglers bring in gold through the back doors to evade tax.