Bilateral Trade Talks

THE fourth round of Nepal-India trade talks was held in New Delhi the other day with both sides agreeing to hold another round of talks in the near future to finalise all issues and resolve problems relating to bilateral trade between the two closest South Asian neighbours. The trade talks held at the joint secretary level focused on improving and expanding bilateral trade and rooting out all anomalies that both sides have pointed out. Nepal and India have always remained the closest of partners and true friends. Both Nepal and India share many commonalities. History, culture and nature bind these two nations together. Both the countries have always been sensitive towards the problems of one another and have helped each other whenever needed. The relation at the people’s level is a model and marked with cordiality and co-operation. These are the hallmarks and unique characteristics of Nepal-India ties. As they are very close geographically, problems sometimes crop up between the two nations and have been resolved amicably in the spirit of good neighbourliness. The same has been reflected in the trade talks between the two countries. The points raised by both the sides in the trade talks are aimed at further consolidating ties between the two nations and expanding bilateral trade. More than two-thirds of Nepal’s trade is with India. It is worthwhile mentioning here that Nepal is a small nation with a small economy while India is a huge economy. A small concession to Nepalese exports on the part of India can be a big boost for Nepal. Such consideration by India, however, will not affect a large economy like India. Moreover, Nepal has a huge trade deficit with India. It is necessary, therefore, to narrow the growing trade deficit of Nepal with India. This huge trade deficit can be narrowed only when India comes forth with liberal and co-operative attitude towards Nepal’s exports. As both the countries are now engaged in trade talks, it can be expected that the issues and problems would be resolved in the next round of talks, which would give further boost to Nepal-India trade. As both Nepal and India have adopted open and liberal economic policies, the bilateral trade between the two countries also needs to be guided by them. Though India is raising the issue of levying additional duties on some items exported from Nepal, this may not be compatible with the spirit of Nepal-India Trade Treaty and the close and cordial relations that exists between the two countries. As close neighbours, each needs to understand the problems and sensitivities of the other. Hence, both the countries are expected to translate this spirit into action when finalising the trade talks.

Timely Action

THE licenses of nine shops that were permitted to run Bada Dasain and Tihar bazaars in Kathmandu, Lalitpur and Bhaktapur were cancelled due to unsatisfactory running of the bazaars. The decision was made by a meeting of the Dasain and Tihar-2001 Market Management and Monitoring Committee held recently under the chairmanship of the director-general of the Department of Commerce. To the vast majority of the Nepalese, if Bada Dasain is their biggest festival, the Tihar, which commences 15 days after the Bada Dasain festival, is their second biggest festival. As such, every year, they keenly look forward to celebrate them with much rejoicing and festivity. In fact, during these festivals, if some will not be that shy to open their purse strings and splurge on buying new clothes for themselves and their family members, then others will not hesitate to throw all caution to the winds to even borrow money to purchase edible commodities to prepare delicious feasts that are, by now, mandatory during these two festivals. This trend, needless to point out, leaves many Dasain and Tihar revelers in a financially precarious position after the two festivals are over. Especially the rural folks whose purchasing power is, to say the least, nominal due to their low socio-economic status while, on the other hand, their desire to mark the two festivals with Plan and great rejoicing is as high as that of their more well-off brethren. The government, keeping in mind their keen interest and their unenviable financial position, has been organising Dasain and Tihar bazaars for the past few years so that they, despite their negligible purchasing power, too will have easy access to quality goods at affordable prices. For, during these festivals the demands for edibles and other commodities are indeed high among both the rich and the poor alike. Such bazaars are constituted under the chairmanship of the respective districts’ chief administrators who, to ensure that the buyers are not short-changed by such shops, form committees to check their services and transactions as well as the quality of their commodities. And those shops found indulging in unscrupulous transactions or selling sub-standard commodities are penalised by revoking their licenses. With Tihar festival just round the corner, it is to be hoped that the recent cancellation of licenses of the nine shops has send strong warning to other shops permitted to run Dasain and Tihar bazaars.