Manipur's Highway Crisis: When Extortion Becomes the Real Fuel Shortage
In the heart of India’s Northeast, where mist-capped hills meet serpentine roads, Manipur is facing a quiet emergency. It is not a shortage of food, medicine, or electricity—though those are real concerns. It is a crisis of movement. For over a year, the state’s lifelines—its national highways—have been hijacked not by landslides or monsoon floods, but by a more insidious force: systemic extortion. Transporters, already navigating some of the most treacherous terrain in the country, are now being squeezed by armed groups, middlemen, and unregulated toll operators. The result? A looming shutdown of fuel and essential goods delivery, threatening not just daily life, but the very stability of the region.
This is not a sudden collapse. It is the culmination of years of erosion—of governance, of trust, and of the rule of law. The violence that erupted in May 2023 between the Meitei and Kuki communities acted as a catalyst, but the roots of this crisis go deeper. They lie in the neglect of India’s Northeast, in the fragile balance between security and autonomy, and in the failure to protect the arteries of commerce that connect remote districts to the state capital. What we are witnessing in Manipur is a case study in how prolonged insecurity can turn basic infrastructure into a weapon—and how a state can drift toward collapse without a single shot being fired in open battle.
Manipur’s highways, once symbols of connectivity and progress, have become corridors of fear. The movement of fuel tankers, the backbone of the state’s energy supply, now resembles a high-stakes negotiation where survival depends not on speed, but on payment.
The Anatomy of Extortion: A Three-Year Escalation
The timeline of Manipur’s descent into highway extortion begins long before May 2023. The state has historically relied on road transport due to limited rail and air connectivity. Imphal, the capital, is connected to the rest of India primarily via National Highway 2 (NH-2), which passes through volatile terrain in the Naga Hills and the Meitei-Kuki conflict zones. These roads are not just transport routes—they are geopolitical fault lines.
According to data from the Manipur Goods Carrier Association, operating costs for transporters have surged by over 40% since 2021, with the sharpest rise occurring after the ethnic violence of May 2023. While fuel prices and inflation contributed to part of this increase, the dominant factor was illegal tolls and extortion. On key routes such as NH-2 between Imphal and Moreh (near the Myanmar border), and NH-37 linking Imphal to Churachandpur and Senapati, transporters now report paying between ₹5,000 to ₹15,000 per trip in unauthorized tolls—sums that can exceed the actual freight charges for small consignments.
Operating Cost Surge in Manipur (2021–2024):
Increase in average operating costs for road transporters, driven primarily by extortion and illegal tolls.
Unauthorized Toll Collection (Monthly Estimate): ₹1.2 to ₹1.8 crore across Manipur’s highways.
Number of Extortion Hotspots Identified by Police: 18 (as of March 2024)
These figures, compiled from transporter associations and police records, reveal a shadow economy thriving on fear. Armed groups, some with political affiliations, have carved out “collection zones” where vehicles are stopped, searched, and taxed under threat of violence. In some cases, drivers are forced to divert through longer, riskier routes to avoid checkpoints—adding hours to already grueling journeys through mountainous terrain.
Transporters describe a Kafkaesque system where “permission passes” are sold for safe passage, and “protection fees” are demanded at multiple points along the same route. The National Highways Authority of India (NHAI), responsible for maintaining these roads, has limited presence in the region due to security concerns. This vacuum has been filled by de facto authorities—local armed cadres, community groups, and even police personnel acting outside their jurisdiction.
Such systemic extortion is not unique to Manipur, but its scale and persistence are alarming. A 2023 report by the Asian Development Bank (ADB) on road safety in Northeast India highlighted that extortion and illegal tolls on state highways can inflate transport costs by up to 60% in conflict-affected regions—effectively pricing essential goods out of reach for low-income families.
---Fuel: The Silent Casualty of the Highway War
At the heart of Manipur’s crisis is fuel. The state imports nearly 90% of its petroleum products via road tankers from Assam and Mizoram. With highways under siege, fuel supply chains are under siege too. Petrol pumps in Imphal have begun rationing fuel, and black markets have emerged where prices exceed official rates by 30–50%. In April 2024, the Manipur State Transport Corporation (MSTC) suspended inter-district bus services citing “security concerns,” a move that stranded thousands of daily commuters.
The impact is felt most acutely in rural areas. In districts like Tamenglong and Chandel, where road access is already limited by geography, communities now face shortages of cooking gas, diesel for irrigation pumps, and kerosene for lighting. Hospitals report backup generators running low on fuel, threatening emergency care. Schools have reduced hours due to transport disruptions. The state, already ranked among India’s most underdeveloped in terms of per capita income, is slipping further into deprivation.
“We used to get diesel deliveries every three days. Now, it’s once a week—if we’re lucky. Patients with chronic illnesses are being turned away. We’re rationing oxygen too.”
— Dr. L. Shanti, Medical Superintendent, District Hospital, Churachandpur
This is not just a logistical failure—it is a humanitarian one. The United Nations Office for the Coordination of Humanitarian Affairs (OCHA) has classified Manipur as a “moderate humanitarian crisis” since mid-2023, citing disrupted supply chains and rising food insecurity. While the central government has deployed additional paramilitary forces, their mandate remains focused on crowd control, not economic protection.
The irony is stark: India’s Northeast is rich in oil and gas reserves. Assam, just 200 km from Imphal, is home to the country’s oldest oil refineries. Yet Manipur, which consumes over 1.2 million liters of petrol daily, must import every drop—because the roads that carry the fuel are controlled by extortionists, not the state.
---Governance in the Shadows: Who Rules the Roads?
To understand Manipur’s highway crisis, one must examine the collapse of state authority. The National Investigation Agency (NIA) and local police have arrested several individuals involved in extortion, including members of the Kuki National Army (KNA) and the United National Liberation Front (UNLF). But arrests have not stemmed the tide. Why?
The answer lies in the complex web of power in Manipur. The state is governed under the Sixth Schedule of the Indian Constitution, which grants autonomy to tribal areas. This has led to parallel systems of governance—tribal councils, village authorities, and armed groups—each with their own rules and revenue streams. When the state government in Imphal attempts to assert control over the highways, it often clashes with these local power centers, leading to accusations of “Meitei domination” or “Kuki separatism.”
This fragmentation has created a governance void on the roads. The NHAI, tasked with maintaining highways, lacks the manpower to patrol remote stretches. The state police are overstretched and sometimes complicit. Meanwhile, armed groups—many of which began as political movements—have evolved into de facto revenue collectors, funding their activities through “taxes” on trucks.
A 2024 report by the Observer Research Foundation (ORF) titled “Northeast India: The Unseen Cost of Insurgency” estimates that illegal taxation on highways in Manipur and neighboring Nagaland generates over ₹200 crore annually for non-state actors. This is more than the combined budget of several district administrations in the state.
Such numbers reveal a disturbing truth: the highway extortion economy is not a side effect of conflict—it is a driver of it. When armed groups derive significant income from controlling roads, they have a vested interest in perpetuating insecurity. The result is a feedback loop: violence leads to extortion, which funds more violence, which leads to further breakdown of law and order.
---From Crisis to Collapse: The Regional Domino Effect
The implications of Manipur’s highway crisis extend far beyond its borders. The Northeast is India’s gateway to Southeast Asia, and Manipur is a key transit point for trade with Myanmar. The closure or disruption of NH-2, which connects Imphal to Moreh and onward to Mandalay, has stalled India’s Act East Policy—a strategic initiative to deepen economic ties with ASEAN nations.
In 2023, bilateral trade between India and Myanmar via Moreh was valued at ₹1,200 crore. By early 2024, this had dropped by over 70% due to security concerns and roadblocks. Indian exporters, including tea companies from Assam and pharmaceutical firms from Kolkata, now reroute goods through Bangladesh—a costly detour that adds weeks to delivery times.
Meanwhile, the crisis is destabilizing neighboring states. Mizoram, which shares a porous border with Myanmar and Manipur, has seen a 25% increase in refugee inflows since May 2023. The state government has struggled to provide shelter, food, and healthcare, straining its already limited resources. In Nagaland, traders report delays in receiving goods from Manipur, leading to shortages of essential items like pulses and edible oil.
This regional ripple effect highlights a critical flaw in India’s approach to the Northeast: the failure to treat infrastructure as a public good rather than a political battleground. Roads, bridges, and fuel supplies are not luxuries—they are the foundation of stability. When they fail, entire economies falter.
---Can Manipur Be Saved? Paths to Recovery
Despite the grim outlook, there are glimmers of hope. In March 2024, the Manipur government, in coordination with the NHAI and the Border Roads Organisation (BRO), launched a pilot program to secure the Imphal-Moreh highway. The initiative includes the deployment of armed escorts for fuel tankers, installation of CCTV cameras at key checkpoints, and the establishment of a joint monitoring cell with representatives from all communities.
Preliminary results are encouraging. Fuel deliveries to rural areas have increased by 20%, and extortion incidents have dropped by 35% in the pilot zone. But the program faces skepticism. Critics argue that without addressing the root causes—political marginalization, weak governance, and the normalization of armed control—any gains will be temporary.
Long-term solutions must include:
- Economic Incentives for Compliance: Offering transporters and communities tax rebates or subsidies for using legal routes could reduce reliance on illegal tolls.
- Community Policing Models: Involving local youth in monitoring highways, with training and stipends, could rebuild trust and reduce extortion pressure.
- Infrastructure Investment: Expanding rail and air cargo facilities in Imphal would reduce dependence on road transport.
- Political Reconciliation: A sustained dialogue between the Meitei and Kuki communities, facilitated by the central government, could pave the way for shared governance of key resources.
- Legal Reforms: Amending the Unlawful Activities (Prevention) Act to target not just armed groups but also their financial networks could dry up extortion funding.
There is also a role for civil society. Non-governmental organizations like the Centre for Development and Human Rights (CDHR) have begun mapping extortion hotspots and advocating for transporter rights. Their data could inform targeted interventions by the Election Commission and human rights bodies.
Yet time is running out. The monsoon season, which begins in June, will make many roads impassable. If the highway crisis persists, Manipur could face a humanitarian disaster—one where fuel shortages lead to food shortages, which lead to social unrest, which leads to further violence.
---Conclusion: Roads as Instruments of Peace
Manipur’s highway crisis is more than an economic issue. It is a test of India’s ability to govern its periphery. For decades, the Northeast has been treated as a security problem first and an economic opportunity second. The result is a region where roads, instead of connecting people, are used to exploit them.
The current moment demands a shift in perspective. Highways must be seen not as contested zones, but as instruments of peace. Fuel must be treated not as a commodity to be taxed, but as a lifeline to be protected. Governance must be restored not through force alone, but through inclusion and shared responsibility.
Manipur cannot wait for peace to return before rebuilding its roads. It must rebuild its roads to return to peace.
In the misty hills of the Northeast, where every kilometer tells a story of resilience and resistance, the next chapter is being written—not in the language of bullets, but in the language of fuel pumps, ration cards, and the quiet hum of trucks resuming their journey.
Whether that chapter ends in recovery or collapse depends on choices made today.