Indian ghee manufacturers are up against their Nepali competitors once again. This time they seem to be winning the battle with a case filed that stopped the import of Nepali ghee into the Indian market. The Central Warehousing Corporation is being blamed for issuing no objection letters to Nepali ghee exports, which Indian manufacturers claim has hampered businesses, especially in eastern India.

A bilateral agreement between Nepal and India allows 100 thousand tons of Nepali ghee duty free access to the Indian market. Now, thanks to the legal tangle, Nepali ghee exporters cannot use the quota set aside by the Indian government.