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Nepal and India hold intergovernmental committee meeting to review bilateral trade, economic ties

Kathmandu: Nepal and India held Inter-Governmental Committee (IGC) meeting to review of all areas of bilateral trade and economic relations, the Indian embassy in Kathmandu said. The IGC is a bilateral mechanism aimed at strengthening trade and business relations between the two countries.

“The two sides had a wide-ranging discussion on all aspects of the bilateral trade partnership including measures to further strengthen cross-border infrastructure, enhance connectivity and facilitate trade,” the embassy said.

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.

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.

The Indian side briefed about the problems seen in the export of milk to Nepal. The two sides expressed their commitment to advance bilateral connectivity, reflecting the shared vision of prosperous bilateral trade. The two sides 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.