Nepal Considers India's Request for Importing Dairy Products Amid Trade Talks

India has raised concerns about the challenges its milk exporters face in Nepal. In response, Nepal has agreed to consider easing imports of certain dairy products like whey and cheese. This development emerged during the India-Nepal Inter-Governmental Committee meeting on Trade, Transit, and Cooperation to Combat Unauthorised Trade, held in Kathmandu from January 10-11.

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Trade Agreements and Infrastructure

The discussions also covered reviewing the Treaty of Transit and the Treaty of Trade. Both countries proposed amendments to existing agreements and talked about harmonising standards. They also focused on developing trade infrastructure, such as electrifying the Raxaul-Birgunj rail line. These steps aim to enhance trade efficiency between the two nations.

Mutual market access, intellectual property rights, and customs duties were other key topics during the meeting. The Indian side highlighted these issues to ensure smoother trade relations. Meanwhile, Nepal requested India to apply maximum axle weight limits for Nepali cargo vehicles transiting through the Kakarbhitta Nepal-Banglabandha Bangladesh route via Phulbari India.

Axle Weight Limits and Plant Products

According to Indian road transport regulations, the axle weight limit is set at 18.5 tonnes for two-axle vehicles and 28 tonnes for three-axle vehicles. This adjustment aims to facilitate smoother transit for Nepali cargo vehicles. Additionally, India informed Nepal that Sal seeds and Chayote are now included in its Plant Quarantine Order.

Nepal's request to add Jatamasi root extract, Sugandhkokila berry extract, Sugandhwal rhizome extract, and Timur berry extract to India's list of processed plant products has been accepted. This inclusion is expected to boost trade in these specific plant products between the two countries.

Commerce Secretary Sunil Barthwal led the Indian delegation at the meeting. The Nepali side was headed by Secretary Gobinda Bahadur Karkee from the Ministry of Industry, Commerce and Supplies. These discussions reflect ongoing efforts to strengthen bilateral trade relations between India and Nepal.