Nepal-India IGC meeting makes overall review of bilateral trade, economic ties

Kathmandu, Jan 13: The Nepal-India Inter-Governmental Committee (IGC) has made a detailed review of all areas of bilateral trade and economic relations. The IGC is a bilateral mechanism aimed at strengthening trade and business relations between the two countries.   

 
The meeting of the IGC related to trade, transit and cooperation to control unauthorized trade was held in Kathmandu on January 10 and 11.   

 
The agenda included review of transit treaty and trade treaty including electrification of Raxaul-Birgunj railway line, proposed amendments to existing agreements, coordination of norms and gradual development of trade infrastructure. The two sides also reviewed issues related to mutual market access, IPR and taxes. 

   
In the meeting, the Indian side informed that Nepal's request for supply of 200,000 metric tonnes of wheat has been approved.  

  
The Nepali side thanked the Indian side for its continued support in ensuring the supply of essential commodities to Nepal.    

At the request of the Nepali side, the Indian side has agreed that in the case of cargo-in-transit in Kakarbhitta (Nepal)-Banglabandh (Bangladesh) via Phulbari (India) route, the maximum axle weight of 18.5 tonnes for two-axle vehicles and 28 tonnes for three-axle vehicles can also be applied in the case of Nepali vehicles as per the prevailing regulations of the Ministry of Road Transport and Highways.    
Responding to the request of the Nepali side, the Indian side informed that Sal (Shorea robusta) seeds and squash have been included in India's plant quarantine order.    

Requests for inclusion of Jatamsi-root extract, Fragrant Kokila Berry extract, Fragrant Rhizome extract and Timur Berry extract in the list of processed products have also been accepted. 

   
At the request of the Indian side, the Nepali side said that it was positive to review the documents related to reclassification of products such as 'IPAQE 28' in its technical system.    

The Indian side briefed about the problems seen in the export of milk to Nepal. The Nepali side has agreed to positively consider the Indian side's request for milk products, including mohi (whey), cheese, which are not produced in sufficient quantities in Nepal.    

The meeting welcomed the bilateral initiatives aimed at strengthening uninterrupted inter-country connectivity between India and Nepal through construction of new integrated check posts and railway links, among others.    

The two sides expressed their commitment to advance bilateral connectivity, reflecting the shared vision of prosperous bilateral trade.    

The two sides have agreed to form a joint working group to discuss the online approval with Nepal and the South Asian Free Trade Area (SAFTA).    

Secretary at the Ministry of Industry, Commerce and Supplies Govinda Bahadur Karki led the Nepali delegation to the meeting.    

Similarly, the Indian delegation was led by Sunil Barthwal, Commerce Secretary at the Ministry of Commerce of India in the meeting attended by senior officials from the Embassy of India in Kathmandu and various ministries.    

A joint secretary-level inter-governmental sub-committee (IGSC) meeting on trade, transit and cooperation to control unauthorized trade was held in Kathmandu from January 12 and 13, 2024.(RSS)