Pattern of Cross-border Commodity Transactions Through Kalaichar Border Haat

Background/Objectives: Kalaichar border Haat is once-a-week (Wednesday) makeshift bazaar/market and has been set up on the zero line border pillars of 1072 of international border between Indo-Bangladesh in the South-West Garo Hills, Meghalaya, India. The study attempts to project a current trend of commodities in terms of volume and value (export and import) in the Kalaichar border Haat.

Methods/Statistical Analysis: Two years’ data on volume and value of commodities traded at Kalaichar border Haat for the years 2016 and 2017 were availed from Land Customs Office, Mahendraganj. Analysis was made applying monthly percentage growth rate method for two years. Border Haat at Kalaichar was inaugurated and started functioning since July 23, 2011. However, limited operations with no systematic record of commodity transactions by the Customs Office up to the year 2015 restricted the data analyses only for two years’ for 2016 and 2017. Analyses of data for two consecutive years’ on monthly transaction volume along with types of commodities being traded in the two years of 2016 and 2017 were done. The information collected for the study comprised both primary and secondary data. The primary component of the data was obtained from vendor and vendees as a participant observant during the Haat days. Secondary information has been collected from the office of the Deputy Commissioner, South West Garo Hills, Meghalaya and Customs Office (LCS), Mahendraganj. Percentage growth rate method was used to analyse the degree of change in volume of commodities.

Findings: From the present study we find that the quantity of the commodities being transacted in the border Haat is directly proportional to the quantity of supply of such commodities in the hands of the vendor of either side of India and Bangladesh. The volume of export or import is directly determined by the quantity of supply of commodities. More the quantity of commodities being supplied, the volume of export or import of commodities stands positive and vice-versa. The major items being imported from Bangladesh to India through Kalaichar border Haat are melamine and plastic products and clothes. The major items exported from India are the seasonal agricultural produce.

Applications: Most of the studies concentrated on the functioning of LCSs. However, our study focuses upon the nature and types of commodities being traded in an international Haat. Here, the transactions undertaken through import-export of commodities in Kalaichar border Haat were reflected upon. The major items being imported from Bangladesh to India through Kalaichar border Haat are melamine and plastic products and garments. On the other hand, the major items exported from India are the seasonal agricultural produce. It is worth noting that as per the MoU signed between the two countries, only locally produced agriculture commodities are supposed to be traded. But, among the traded commodities, cumin seeds account for the highest volume in the export list from Indian side, which is however not a locally produced item but still being traded in large volume. This phenomenon remains an interesting point for deliberation.