XIth SAARC Summit
Trade sector expects a new boost

BY RAJKUMAR KC

Kathmandu, Dec. 15: The forthcoming11th Summit of the South Asian Association for Regional Cooperation (SAARC) to be held in the capital early next month has generated great expectations among the least developed countries (LDCs) in the region that it would endorse some important economic agenda like South Asian Free Trade Agreement (SAFTA).

Endorsement of the SAFTA will be a great leap in the South Asian regional trade that would help boost regional trade and simultaneously enhance competitive strength of LDCs like Nepal and Bhutan.

However, according to economists taking benefits out of free trade arrangement banks on individual capacity of LDCs.

Of course, LDCs among the SAARC member nations will have a great challenge with the operationalization of the SAFTA, but they have no options other than developing their own competitive strength.

Entering into the world trade regime or to be involved in free trade arrangement is not only a challenge, but also an opportunity to gear up economy. For a country like Nepal, it has to have exportable surplus of goods and services to sell.

Besides it has to develop competitive capability, says Dr. Badri Prasad Shrestha, a member of the Advisory Committee on Economic Council of the 11th SAARC Preparatory Committee.

Are the LDCs including Nepal being really benefited from the SAARC Preferential Trading Agreement (SAPTA), which came into force in 1995?

In fact the SAPTA has entangled itself into numerous bilateral trading agreements like Nepal–India Trade Treaty 1996 is the one.

Dr. Shrestha, former vice chairman of the National Planning Commission (NPC) talking to The Rising Nepal points out some positive aspects of the SAFTA.

First it helps attract foreign direct investment (FDI); second the chances of intervention will be less. The most important thing that we should have – that is --exportable surplus, he says.

For free trade of goods and services under the SAFTA there should be no tariff, no quantitative restrictions and no non-barriers as well.

The elimination of tariff ultimately triggers the problem in revenue generation. On top of that country's industries will have to be more competitive in order to survive.

Regarding revenue generation, Dr. Shrestha suggests 'There is a provision for the LDCs for a certain period of time. A fund can be created to support them.'

Apart from this, there will be a special provision for LDCs to adjust their tariff rates.

The politicians often sound optimistic about the SAFTA and WTO, but they seem to have no ideas that how a country like Nepal reaps more benefit from free trade.

Do we have ample goods and services to sell in the international and regional market? Have we developed competitive strength at par with our neighbouring countries? These are the questions that cannot be answered easily.

Till the third round of meeting of the SAPTA, 5400 plus items were identified as 'eligible commodities' for preferential treatment. However, the number of Nepal's exportable items is insignificant in comparison to other countries.

Taking the vulnerable situation of LDCs into consideration, they will be provided with preferential treatment for a specific period, says Prof. (Dr.) Guna Nidhi Sharma, a member of the Advisory Committee of Economic Council.

However, the success of SAFTA largely depends upon harmonisation of tariff rate between the member countries and each of them should come to the minimum acceptable level. Nepal's trade within the region is just a three per cent.

The SAFTA is essential in today's context. Though we have some inherent problems in our trade, we should develop our competitive strength, says Prof. Bishwambhar Pyakurel.

According to Ministry of Foreign Affairs (MoFA), SAFTA along with trade will deal other aspects such as- technical assistance, capacity building, legal capability and research as well.

The Tenth SAARC summit held in Colombo in 1998 had recommended preparing a frame of the SAFTA within this year, but it was materialised owing to postponement of the SAARC summit. It is expected that the SAFTA will come into force after 2005.

Security forces arrest 44 suspects

BY A STAFF REPORTER

Kathmandu, Dec. 15: The security personnel arrested 44 suspects from various parts of the country on Friday in the process of joint search operation against the Maoist terrorists.

According to a press release issued today by the Ministry of Defence, the security forces have arrested 26 suspected individuals from Sudal, Bhaktapur, four from Gorkha’s Ghyampesal, four from Morang’s Lalmatti, seven from Chitwan’s Bharatpur Municipality, two from Arghakhanchi’s Sandhikharka, and one from Syangja.

The search teams also arrested two terrorists along with one .303 rifle, seven 12-bore rifles, bullets, explosives, socket bombs, and combat dress from Myagdi’s Babiyachaur and are investigating on them. The joint security teams also seized explosives, illegal documents and donation pads from Bajhang’s Malumela, stated the press release.

Koilidevi honoured
Govt expects cooperation from parties: Wagle

Hetauda, Dec. 15 (RSS): Minister for Physical Planning and Works Chiranjivi Wagle has said that HMG has expected cooperation from all the political parties to make the country economically stronger and to free the country from poverty by keeping the country’s constitutional Monarchy, multiparty democracy and national integrity intact.

Inaugurating the fifth Town Council meeting of Hetauda Municipality here Friday, Minister Wagle said HMG is effortful in making the local bodies more responsible for making democracy more dynamic.

He also called on the Maoists to shun violence and come to the constitutional mainstream.

MP Rajendra Pandey said HMG should be sensitive over bringing about coordination among constitutional bodies, government and the legislature.

MPs Krishna Prasad Dahal and Bir Bahadur Lama, Makwanpur DDC chairman Rameswor Rana and Hetauda deputy mayor Hari Bahadur Mahat also expressed their views.

From the chair, Hetauda Municipality mayor Dormani Poudel presented a development budget estimate of Rs. 44,627, 338 for the current fiscal year.

Meanwhile, Minister Wagle gave way Rs 10,000 and a letter of appreciation to famous singer Mrs. Koilidevi Mathema who was born in Chisapanigadhi of Makwanpur, and a letter of appreciation and Dosalla to Dr. Kalyan Basnet of the Hetauda Hospital as an honour.

Tulsi Lal was an ideal personality: Nepal

Lalitpur, Dec. 15 (RSS): General Secretary of the CPN-UML and president of the Tulsi Lal Memorial Foundation Madhav Kumar Nepal has said that late Tulsi Lal was an apex and ideal personality in the Nepal’s democratic and communist movement.

Speaking at the third General Assembly of the Foundation here today, he said nobody can underestimate the contributions of Tulsi Lal who fought for the liberation of the Nepalese people during the autocratic Rana regime.

Nothing has been done to highlight his contribution and role before the people as would be possible, he added.

Member of the CPN-UML Standing Committee and president of the All Nepal Farmers Association Keshav Badal called for long-lasting works by the Foundation to immortalise his contribution.

MP Banshidhar Mishra called on all to learn from the life of Tulsi Lal.

Lalitpur Sub-metropolis mayor Buddhiraj Bajracharya made commitment to build a life size statue of Tulsi Lal at the Gwarko cross roads to immortalise the contributions of Tulsi Lal and to name the road from Koteswor to Gwarko as Tulsi Lal road.

At the programme, president of the Foundation’s Rautahat branch Ram Kumar Bhattarai shed light on the contributions of Tulsi Lal.

World Sanitation Day marked at Khokana

Lalitpur, Dec. 15 (RSS): The World Sanitation Day Programme was organised here today at Khokana VDC of Lalitpur district under the auspices of the Nepal-Australia Friendship Society and the Australian Embassy.

Chief guest of the programme Chrispin Conroy said that such programmes conducted by the Friendship Society have great significance and should be given continuity to raise awareness on environment.

The Ambassador also gave way sanitation materials and certificates to various schools, local clubs and the VDC.

The Ambassador also released a book ‘Travelogue of Western Australia and Perth’ written by Poshan Raman Chapagain.

At the programme presided over by Khokana VDC chairman Madan Krishna Dangol, various other speakers including Sriram Lamichhane of the Nepal-Australia Friendship Society said that the programme has been run for the last six years and has been extended to the rural areas also.

Also speaking on the occasion were District Education Officer of Lalitpur district Baliram Singh, Vice Chairman of the Friendship Society Mohan Bir Thapa and headmaster of the Indrayani School Babu Ram Thapa.

More than 500 students of various schools had participated in the rally carrying banners, placards and posters on the World Sanitation Day.

Interaction Programme
Leaders stress mutual consultation to address nation's critical issues

Kathmandu, Dec. 15 (RSS): Political party leaders have stressed the need to develop a mechanism through mutual dialogue and discussion among the country's major political parties to resolve the problems facing the country today.

Speaking at an interaction programme on "The role of political parties during the State of Emergency" organised by the Democratic National Youth Federation here today, the leaders of the political parties pointed out the need for massive reforms to address the political, economic and social problems.

They stressed the need for the government to end the State of Emergency with the stipulated time and not to misuse state powers or arrest supporters of opposition parties and harass them during this period.

Nepali Congress president Girija Prasad Koirala expressed the view that the country would be free of problems if all the people and political forces having faith in the present Constitution, constitutional Monarchy and human rights came under a single umbrella and worked out a programme by fostering a broad-based democratic unity.

He said unity would help end the State of Emergency in the country and that it would be better if such a unity could be forged before the forthcoming SAARC Summit for it would send a positive signal to the outside world.

The Nepali Congress is ready to any sacrifice anything, if required to make this happen, he said and called on other political parties to make similar commitments and not waste time just by pointing fingers at others.

CPN-UML General Secretary Madhav Kumar Nepal stressed the need for new structures, political sagacity and far-sightedness among those in power and a change in the Maoists’ mind set for bringing about tangible improvements in the country.

He urged the Maoists to renounce the politics of violence and killings, and the demand for a Constituent Assembly and get ready for a national consensus.

President of Rastriya Prajatantra Party (RPP), Surya Bahadur Thapa said as no single political party is in a position to resolve the problems of the country in the present situation, all the political parties should honestly strive and forge a national consensus.

General Secretary of the CPN-ML Bamdev Gautam stressed the need for the Maoists to renounce violence and terrorism and said that the political parties also should build up pressure for creating an environment for holding talks again to foster a wider national consensus.

President of Nepal Sadbhavana Party Gajendra Narayan Singh opined that the State of Emergency should not be extended more than the stipulated three months period and all should become aware so that the country is prevented from reaching the brink of disintegration.

President of Rastriya Jana Morcha Chitra Bahadur K.C. alleged that supporters of his party are being arrested for no apparent reason and demanded that the Maoists willing to surrender should be allowed to do so.

President of Samyukta Jana Morcha Nepal Lilamani Pokharel called for immediate end of the State of Emergency. He was of the view that dialogue is the only way out of the present crisis.

President of Nepal Workers and Peasants' Party Narayan Man Bijukchhe spoke of the need to reduce the span of the State of Emergency and bring the Maoists back to the negotiating table through collective efforts of all the political parties.

President of the Democratic National Youth Federation Gokarna Raj Bista presided over the programme.