Nepal to raise economic  issues at UN meet

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KATHMANDU, Nov 8 – Following the unprecedented terrorist attacks in the United States on September 1 that left over five thousand dead, ‘terrorism’ is likely to feature as the main agenda of the protracted meet of the UN General Assembly that begins Saturday in New York.

Finance Minister Dr Ram Sharan Mahat made the above statement while talking to mediamen before leaving Kathmandu for New York to take part at the meet in the Tribhuban International Airport here today.

"Terrorism in developing and least developed countries is not uncommon and Nepal is no
exception. Following the history’s worse terrorist attack in the US recently, the UN General Assembly is likely to do some serious talking over it," Dr Mahat said.

Furthermore, Nepal would lay special emphasis on human rights, disarmament, protection of children and women empowerment, he said.

"Though terrorism is likely to be the main agenda that Nepal too would be pursuing, others matters of economic concerns would also be raised," said Dr Mahat, whose thrust probably would be to cushion the challenges of Nepal’s accession to the global rules based trading system.

Among others, Dr Mahat said that Nepal would, at the UN meet, press the developed countries for debt cancellation. "The developed economies have waived debts of the Highly Indebted and Poor Countries (HIPC). We would request the developed countries to grant the same facility to Nepal," he said.

"Because Nepal is faring comparatively better in debt management doesn’t mean that it is not entitled to such a facility. The existing bottlenecks in development endeavours is making it difficult for Nepal to service debts," said FM Mahat.

Other areas where Nepal would lay emphasis on are duty free access to markets of the developed countries to products from poor countries like Nepal, increase in the Official Development Assistance, among others.

FM Mahat, on his return back, is also scheduled to visit Finland and Norway. He informed journalists that issues of bilateral concerns with each country would be discussed. "The effort during the visit would be to attract investment in the various viable sectors in Nepal," he said, adding, "Other areas of cooperation would also be explored." FM Mahat at the sidelines of the meet is also scheduled to meet officials of South Asian Association for Regional Cooperation, European Union and Association for South East Asian Nations.

Nepali delegation leaves for Doha

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KATHMANDU, Nov 8 - A seven-member Nepali delegation today left for the Qatari capital of Doha to take part at the fourth ministerial meet of the World Trade Organisation (WTO) that would be held from November 9-13.

Headed by Purna Bahadur Khadka, Minister for Industry, Commerce and Supplies, other members of the delegation include Bhanu Prasad Acharya, Secretary at the ministry, Prachanda Man Shrestha, Chief of the WTO cell in the ministry and Suresh Man Shrestha, Under Secretary at the ministry.

Furthermore, Posh Raj Pandey, Programme Manager of Nepal Accession to WTO and Rajendra Kumar Khetan, Second Vice President of the Federation of Nepalese Chambers of Commerce and Industry also accompanied the delegation. The delegation would be joined by United Nations Permanent Representative to Geneva Dr Shambu Ram Simkada and Nepali Ambassador to Qatar Shyamananda Suman.

Nepali delegates at the WTO meet would put up its issues of concern by virtue of the observer’s status. Among others, Nepal is to voice strongly over the complicated accession process, especially in the backdrop that no least developed country (LDC) has obtained WTO membership since the global trade body came into being in 1995.

Also, Nepal would demand from the developed economies to aid underdeveloped and backward countries, including Nepal, in enhancing their capacities to ensure that the whole gamut of the WTO agreements can be effectively implemented.

Other concerns including the implementation and the Singapore issues would also be strongly opposed by Nepal. Most of the Nepali concerns would, however, be brought to light through the regional bloc of SAARC and through the grouping of the 49-LDCs.

In addition, Nepal would press the developed economies work in a manner that can complement the achievements of the Third United Nations Conference on Least Developed Countries that was held in Brussels early this year. The UNLDC-III had formulated a ten year programme of action targeting poverty reduction in underdeveloped economies.

Likewise, Nepal’s thrust upon the first world countries would be on allowing duty free and quota free market access to products of the LDCs and developing countries.

The Nepali delegation at the sidelines of the WTO meet would also hold informal discussions with different WTO-member countries that had earlier shown interest in building trading relations with Nepal. The countries include the United States, Canada, Australia, New Zealand, India, Sri Lanka, European Union, Malaysia and Japan.

Farmers pressed under slumping agro-prices

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DHANGADI, Nov 8 – Despite a marginal increase in the prices of agro-products this year as compared to the prices of last year, farmers are unlikely to receive a fair return for their produce.

This is the second consecutive year that farmers in this area are bearing the brunt of falling agro-prices chiefly due to good monsoon and high yield. This is in contrast to the eastern part of Nepal where drought has taken its toll on agriculture this year.

The prices of agricultural products in this region presently is 30 to 50 per cent lower than that the prices of the previous year. Such a price level, especially in the wake of withdrawal of most subsidies from agriculture by the government, has made it impossible for farmers to even recover their investment.

While the prices of common paddy in the Kailali district is currently hovering at around Rs 600 per quintal, the price of fine paddy is fluctuating between Rs 700 and Rs 725. The per quintal price of paddy in the previous year had stood at the range of Rs 900 to Rs 1100.

The government was forced to intervene last year when the prices of paddy went bust. The government then had, after much damage was already done, fixed the per quintal price of common paddy at Rs 500 which it later increased to Rs 575 at the onset of the winter season.

Local traders are not optimistic that paddy prices would rise this season. "There is no exports. The local demand is unable to absorb the total produce. How can we anticipate prices to rise," says local food grains trader Manoj Agrawal.

But it is the farmers who are more worried over the dwindling price of agro-products, especially paddy. Their fears are further compounded by the changed government policy that came into effect last year. Earlier the government used to fix a minimum procurement price and buy paddy through Nepal Food Corporation (NFC) from domestic farmers. However, the government put an end to such arrangement last year.

Though the Kailali District Development Committee has repeatedly requested the government to act for the benefit of the farmers, the government is yet to take any decision.

"We have repeatedly urged the government to purchase the farmers’ paddy. If it is not possible at the national level, the action must be taken at the local level to ensure farmers a fair return," said Vice Chairman of the DDC Surya Bahadur Shah. He further said that authorities declined to take intervene before the Tihar festivals.

However, zonal chief of the NFC Lal Bahadur Kunwar said that the corporation is mulling whether paddy could be purchased at the district level only. "The NFC cannot purchase much since many of the NFC depots in the hilly and mountainous districts are laden with food grains," he added.

Though not much imports have been reported this year, the major reason for the last year’s price slump was the flooding inflow of cheap rice from India that elbowed out the Nepali produce from the local markets.

And amidst uproar of farmers, the government came under severe pressure to reconsider its earlier decision to scrap subsidy on shallow tube wells and fertilisers. Nepali produce could not compete against the subsidised Indian products. India continues to heavily subsidise agriculture inputs.

Professionalism in trade unions stressed

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KATHMANDU, Nov 8 – Experts gathered here today at an interaction programme on the role of trade unions in reforming financial institutions have stressed upon the need for professionalism even in trade unions so that the financial institutions can be strengthened.

Addressing the programme, Minister of State for Finance Bharat Kumar Shah said, "At a time when the economy is dwindling resulting in losses to most financial institutions, trade unions have to give their highest priority in reviving the institutions rather than getting engrossed in various kinds of squabbles."

"Employees in any institution will get maximum benefit if the health of the institution is sound. Hence it is necessary that trade unions play a positive role that can contribute at making the institutions stronger," he said.

Pointing out that several world reports has shown more than 25 per cent of Nepali government employees are found not doing their work sincerely, he said trade unions have to take a certain degree of responsibility that employees are putting in good efforts at work.

"The trade unions should be strong enough to monitor the activities of its members," he stressed, adding, "The institutions as a whole too must be monitored to ensure that malpractice does not take place."

Addressing the programme, Ganesh Prasad Adhikari, Executive Chairman of Rastriya Banijya Bank, said that the performance of government employees is lower as compared to private sector employees.

"One of the reasons behind this might be some kind of immunity from lay-offs that civil servants feel. The trade unions have to increase their activities to enhance the productivity of the employees," he said.

Bhavanath Upadhaya, General Manager of Nepal Bank Limited, said that trade unions have to put their demands in consideration of the financial position of the institutions. "Also, the institution has to provide training and other facilities to the employees as to the strength."

Rajendra Rawat, Chairman of Nepal Democratic Banking and Financial Institutions Employees’ Association said that leaders of the institutions should not take undue advantage and should aim at contributing more to enhance the financial strength. "The decisions of the trade unions must be taken above political pressure," he added.

Rawat also requested the Minister of Sate of Finance to scrap provision of including banking sector under the essential service sector that has banned all sort of strikes in the banking and financial institutions. The programme was organised by Nepal Democratic Banking and Financial Institutions Employees’ Association.

Jogbani-Kolkata to be connected

BIRATNAGAR, (Jogbani), Nov 8 - The construction of a hundred and seven kilometre long broadguage railway line scheduled to be completed in the next one and a half years here at one of the busiest transit points between Nepal and India is expected to bolster significant economic transaction.

Indian Railway Minister Nitish Kumar who was on a visit to Jogbani, Bihar, near Biratnagar on Wednesday informed that the Indian government has allocated 370 million rupees this fiscal year (Indian fiscal year ends on March 31st) for the construction of the Katihar-Jogbani broadguage connecting.

"The broadgauge railway line will not only help to boost the economy of Bihar, one of the most backward pockets, but will also contribute significantly in expanding bilateral trade between India and Nepal," Indian Railway Minister, Nitish Kumar told during a visit here on Wednesday.

The existing meter-gauge will be kept open even as the construction of the broadgauge line continues without causing any alteration in the trade between Nepal and Bangladesh. Only in exceptional cases, alternate routes will be used closing the existing Nepal-Bangladesh route temporarily, officials said.

Nepali businessmen in the neighbouring Biratnagar have emphasised that the government should begin the early setting up of export promotion zone (EPZ). The Nepali government earlier had planned to set up various EPZs across Nepal but the actual work is yet to begin.

"Upon the completion of the 107- kilometre-long broadgauge railway line along with the EPZ, trade with India as well as third countries will see a tremendous growth," businessmen in Biratnagar asserted.

The import of both readymade and unfinished items from India, including essential consumer goods like salt and food-items, coal, building materials like cement and rods will become cheap and affordable, businessmen said.

Transporting goods from Calcutta, India to Biratanagar in trucks have often in the past proved difficult. And it is the constant risk of theft and damage at transit points that has dampened effective trade.

With the opening of the broadgauge railway line, businessmen hoped that goods from Kolkata would come to Jogbani, near Biratnagar, with minimal risk of damage, theft and pilferage.

The existing railway route for import and export of goods through the Biratnagar transit extends only up to Katihar, India. Also, past instances of bandhs and blockades alongside the Indian route has greatly hampered the business in the South-Eastern part of Nepal, particularly in the industrial city of Biratnagar.

Businessmen and industrialists are hopeful that direct railway connection between Biratnagar and Kolkata will not only help in enhancing businesses but will also create a conducive atmosphere for competitive growth of business enterprises in Biratnagar.

Businessmen in the eastern districts had long been pressing the Indian government for the opening of the broadgauge railway line. Morang Trade Association also forwarded a memorandum to the Indian Railway Minister during the latter’s visit apprising him of the various obstacles being faced by Nepali businessmen.