Uttar Pradesh, the largest state in India, has achieved a significant milestone with the inauguration of its first land port along the India-Nepal border. Prime Minister Narendra Modi and his Nepalese counterpart, Pushpakamal Dahal ‘Prachanda’, conducted the virtual inauguration ceremony of the Rupaidiha land port in Bahraich district.
Spanning across an expansive 115 acres, the development of the Rupaidiha land port required a substantial budget of Rs 206 crore. The primary objective behind establishing this port is to promote and facilitate cross-border trade between India and Nepal.
The Rupaidiha border is a vital trade route, witnessing an annual trade value of Rs 8,500 crore between the two countries. Notably, exports contribute to 95 percent of this trade, underscoring the significance of this port’s establishment for bolstering economic ties.
The inauguration of this land port is expected to have a profound impact on trade volume. It is projected that the number of trucks passing through the port will increase from the current 200 to a minimum of 300 per day. This surge in trade activity will drive economic growth and further strengthen bilateral relations between India and Nepal.
Understanding the Concept of a Land Port
India shares extensive international land borders, stretching over 15,000 kilometers with seven neighboring countries in South Asia, including Afghanistan, Bangladesh, Bhutan, China, Myanmar, Nepal, and Pakistan. To facilitate cross-border movement of goods, individuals, and vehicles, designated entry and exit points have been established.
However, inadequate infrastructure at these checkpoints has been a persistent hurdle to regional trade, obstructing the smooth movement of goods and passengers across borders. Recognizing the need for reform, India established the Land Ports Authority of India (LPAI) in 2012 as a statutory body under the Ministry of Home Affairs. This authority operates under the Land Ports Authority of India Act, 2010.
A land port, as officially defined in India, refers to an area on the international borders that includes portions of national and state highways, other roads, and even railways. These areas are designated as land Customs stations or immigration check-posts under the Customs Act, 1962, or the Foreigners’ Act, 1946. Land ports are equipped with comprehensive infrastructure, including customs, immigration, and border security facilities, as well as state-of-the-art amenities such as warehouses, examination sheds, and weighbridges. Their purpose is to facilitate the smooth movement of passengers and goods across India’s international borders.
Existing and Future Land Ports in India
India currently operates ten land ports along its land borders with Pakistan, Nepal, Bangladesh, and Myanmar. These include Attari and Dera Baba Nanak in Punjab, Raxaul and Jogbani in Bihar, and Moreh in Manipur, serving as trade gateways with Pakistan, Nepal, and Myanmar, respectively.
The Dera Baba Nanak land port, inaugurated in 2019, specifically facilitates Indian pilgrims visiting the Gurudwara Kartarpur Sahib in Pakistan. Additionally, five land ports operate along the Indo-Bangladesh border: Agartala and Srimantapur in Tripura, Dawki in Meghalaya, Petrapole in West Bengal, and Sutarkandi in Assam.
Among these, Petrapole stands out as the largest land port in South Asia, handling nearly 30 percent of land-based trade between India and Bangladesh. Since its establishment in February 2016, it has witnessed a steady increase in passenger movement, with an average of 22 lakh people crossing the post on both sides annually.
To further enhance cross-border trade, several new land ports are being developed in strategic locations. These include Banbasa in Uttarakhand, Sonauli in Uttar Pradesh, and Bhithamore in Bihar along the India-Nepal border, as well as Sabroom in Tripura, Kawrpuichhuah in Mizoram, and Fulbari in West Bengal along the international border with Bangladesh.
Boosting Trade and Economic Integration
Since the establishment of the first land port in Attari in 2012, the Land Ports Authority of India (LPAI) has played a crucial role in facilitating cross-border trade worth over Rs 5 lakh crore across all operational ports. The financial year 2021-22 witnessed a substantial increase in bilateral trade, reaching Rs 77,527.99 crore, a significant 59 percent rise compared to the previous fiscal year’s trade value of Rs 48,682.76 crore.
The land ports have also greatly contributed to the seamless movement of passengers, with over 1.5 crore people crossing the borders. In the financial year 2021-22, passenger movement through land ports increased by more than 62 percent compared to the previous year. A total of 4,01,536 passengers utilized the land ports, reflecting the growing demand for efficient and convenient cross-border travel.
Moreover, the land ports in India have played a vital role in transforming informal trade into formal trade, promoting regional economic integration. By providing robust infrastructure and streamlined procedures, these ports have facilitated trade activities, boosted economic growth, and strengthened ties between India and its neighboring countries.
In conclusion, the inauguration of Uttar Pradesh’s first land port, the Rupaidiha land port, marks a significant milestone for India’s cross-border trade. This development will promote trade between India and Nepal, stimulate economic growth, and enhance bilateral relations. As India continues to invest in the establishment of new land ports, it is poised to further enhance regional trade, foster economic integration, and create new avenues for cross-border cooperation and prosperity.
