In recent years, south Asia has received growing attention as a region that has successfully begun the process of regional integration. The opening of free trade in the region has led to countries in south Asia experiencing high trade costs due to inadequacy in trade and transport facilitation. South Asia's trade is constrained by poor infrastructure condition, congestion, high costs, and lengthy delays. These problems are particularly severe at border crossings, many of which pose significant barriers to trade. This paper supplements the findings of previous studies on this subject and reassesses the transaction costs for India's overland exports to Bangladesh. It finds that transaction costs of India's exports to Bangladesh have increased despite simplification of documentations at border. The paper concludes that the rent-seeking informal economy is very much deep-rooted and making the trade transaction expensive at border.