17 November, 2006 - One in every 10 Indian entering Bhutan via border town of Phuentsholing state ‘collection of dues’ as the reason for the visit, according to officials of the regional immigration office.
These people are Indian businessmen based in Phuentsholing, Jaigaon and sometimes in states like Uttar Pradesh making trips to various dzongkhags to collect dues that have been outstanding for a long time, some running into years.
The Bhutanese counterparts import goods used for basic purposes to electronics and construction materials, sometimes in cash and sometimes on credit.
“We don’t receive any commitment as such,” said an Indian businessman. “Sometimes they say they will pay in a few days, weeks or months.”
The Indian businessmen said that delayed payment was all part and parcel of business and risk was always involved. “In fact when there is more risk there is more gain,” said a businessman.
They, however, did try to reduce the risks by giving credit to those they had worked with before or if it was a new person they asked for their identity cards or other proof to confirm that they were not being duped.
About 60 percent of the Indian business people in Jaigaon and Phuentsholing give credit to Bhutanese businessmen, according to a businessman Rama Shankar, who is based in Phuentsholing.
On November 14, Ram Shankar waited at the immigration office counter to get his permit to go to Thimphu to collect outstanding dues. He had made several trips to places like Thimphu, Haa, Chukha to collect dues in the past.
Payment, he said, was not confirmed but he did try to meet his debtors over the phone and inform them before he made the visits.
While the small Bhutanese businesses had credit of about Nu. 30,000 to Nu. 40,000 the bigger businesses had credits running into hundred thousands of ngultrums according to some Indian businessmen.
Another businessman, also based in Phuntsholing, said that he had to go as far as Ranjung in Trashigang to claim dues, which were late by about one and half months. Other areas he had to visit were Bumthang and Thimphu from where he was to collect over a hundred thousand ngultrums.
Processing for the permit, not getting payments in time, going after the debtors, and collecting the debt was something the Indian businessmen were habituated to, according to Rama. Moreover over 90 percent of the clients of Indian businessmen in Jaigaon and Phuentsholing are Bhutanese, he added.
On an average the office sees about five to six Indians seeking permits to claim their dues, according to immigration officials. The office receives about 50 to 60 foreigners a day putting up applications for various permits.
Meanwhile, the other nine of the ten people seeking entry permit to Bhutan had reasons such as tourism, business and visiting family.
By Kinley Wangmo in Phuentsholing
kinley_w@kuensel.com.bt
