INDIA-NEPAL INTER-GOVERNMENTAL COMMITTEE MEETING
CONCLUDES
The India-Nepal Inter Governmental
Committee (IGC) Meeting on Trade Transit and Cooperation to Control
Unauthorised Trade was held in New Delhi from August 15-18,2002.
The Indian delegation was led by Shri Dipak Chatterjee, Commerce
Secretary. The Nepalese delegation was led Shri Bhanu Prasad Acharya,
Secretary, Ministry of Industry, Commerce and Supplies, His Majesty's
Government of Nepal.
The following were the highlights
of this meeting:
- India has agreed to set up additional Food Testing
Labs at India-Nepal Border at two mutually agreed locations,
namely Raxaul and Sunauli.
- India agreed to set up three additional Agriculture
Quarantine Stations by 1st November 2002 at Jogbani,
Sunauli and Banbasa. Three such stations are already functioning
at Panitanki, Raxaul and Rupaidia.
- In response to Nepal's request for reducing the
testing fees for food testing labs and agriculture quarantine,
India would examine if this is feasible.
- Nepal welcomed India's notification exempting
Aviation Turbine Fuel supplied to Royal Nepal Airline Corporation
in India from excise duty.
- Nepal also welcomed the decision of the West Bengal
Government in modifying the provisions of the luxury tax which
would benefit Nepalese exports to India.
- Nepal welcomed the streamlining of the import
of Nepalese vanaspati by Central Warehousing Corporation through
the canalisation arrangement.
- India agreed to consider Nepal's request for increasing
the tariff rate quota on copper.
India conveyed its concern to Nepal on the following
issues during this meeting:
- continuing discrimination against export of India's
cars to Nepal on self-certification basis. Nepal agreed to implement
uniform procedure for all countries within three months
- continuing problems for Indian joint venture companies
in Nepal from different agencies of Nepalese Government
- reduction in Customs duty preference available
for India, making India less competitive vis-à-vis other
countries exporting goods to Nepal. Nepal agreed to look into
the matter.
Both India and Nepal agreed for the
early meeting of technical experts on the following issues to
arrive at agreements on each of them:
- Operationalisation of Birgunj Inland Clearance
Depot and agreement on rail link
- Agreement on regulation of Indian Vehicular Traffic
in Nepal
- Bilateral Investment Protection and Promotion
Agreement
- Bilateral Cooperation Agreement between
Bureau of Indian Standards (BIS) and Nepal Bureau of Standards
and Meteorology (NBSM)
