Fuel restrictions in Mizoram hit Arakanese traders, raise shortage fears

Arakanese fuel traders in India’s Mizoram State are facing losses after authorities banned and tightened the transport and sale of fuel to Arakan State, according to merchants.

By Admin 31 Mar 2026

A section of the India Arakan trade route pictured in August 2025.
A section of the India Arakan trade route pictured in August 2025.

DMG Newsroom

31 March 2026, Paletwa, Chin State

Arakanese fuel traders in India’s Mizoram State are facing losses after authorities banned and tightened the transport and sale of fuel to Arakan State, according to merchants.

From March 20, district authorities in Mizoram issued orders prohibiting the export and sale of fuel to neighboring countries.

Traders said fuel trucks are being seized at border gates, and those who paid deposits in advance are unable to recover their money.

“Fuel from Mizoram State can no longer pass through to Arakan State. If anyone tries to pass and encounters the Assam Rifles, everything is seized. Before, it was possible to pass a small amount, but now it is completely blocked,” said an Arakanese trader in Lawngtlai.

He added that many fuel trucks have been seized at the Laungpu gate in Saiha District, while arrests are also taking place at fuel stations.

“Some traders who paid deposits to buy fuel cannot get their money back and are facing serious difficulties,” he said.

Since 2023, the regime has blocked the flow of goods into Arakan State, leading to heavy reliance on fuel imports from Mizoram.

Amid global fuel concerns linked to the US and Israel Iran war that began on February 28, Indian authorities have imposed restrictions to prevent domestic shortages.

District administrators have warned that those violating the ban on fuel export will face action under Section 163 of the BNSS enacted in 2023.

Another merchant said fuel seizures are mainly carried out by the Assam Rifles under orders from the central government.

“If they seize it, the fuel is lost. There is no way to respond. Many fuel trucks have been seized at the Laungpu gate, and traders are suffering heavy losses,” he said.

Business sources said fuel inflows into Arakan State from Mizoram have declined since March 20, raising concerns over possible shortages.

Traders said fuel is still available in Arakan State for now, but shortages could occur if the blockade continues, while the Arakan Army is taking steps to prevent price increases.