NEPAL -INDIA TRADE TREATY
Renewal of treaty still at cross roads

BY A STAFF REPORTER

Kathmandu, Oct 16; As the time for expiry of Nepal-India Trade Treaty is nearing, officials as well as business leaders from the both countries are trying to forge a mutually agreed solution for the renewal of the treaty. The Trade Treaty 1996 has a provision of automatic renewal, but India has been demanding the review of the treaty, whereas Nepal is pressing for automatic renewal as mentioned in the treaty.

Though the future of the treaty is yet to be decided, experts from Nepal and India today extensively discussed various issues related to the Trade Treaty. Most of the speakers at the programme said that the treaty should be renewed to promote the interests of both the countries.

Addressing the seminar on 'Renewal of Nepal India Trade Treaty' jointly organized by Nepal -India Chamber of Commerce & Industry (NICCI) and Embassy of India, Dr. Bhek Bahadur Thapa, Royal Nepalese Ambassador to India said that the issue of trade needs constant monitoring so as to keep the spirit of the treaty intact.

Instead of giving importance to other areas, the spirit of friendship between two countries has to be given priority for long-term sustainability, Dr. Thapa said. "Certain problem has been cropped up regarding trade issues, but it has to be solved through dialogue."

Dr. Thapa further said that the trade treaty should not be confined within trade alone, it should be a catalyst to strengthen mutual and economic ties between two nations.

Deb Mukharji, Ambassador of India stressed the need to solve the issue in a mutually acceptable manner. "We have to be clear about the trade treaty. Along with trade, we should make joint efforts for strengthening economy of both the nations," he said.

Rukma Shumshere Rana President of NICCI in his welcome address stressed the need for developing an atmosphere for mutual understanding to tackle the issues.

While many of the clauses in the treaty have been unofficially settled, there are some certain issues that are yet to meet a common ground, he said. "The 1996 Trade treaty was the culmination of new thinking."

There are many new changes, but for a small industrial power like Nepal, there were two huge changes that were to radically alter of the whole scene. First, was the removal of all material content requirements and second was the self - certification of the products that would get entry into the India market.

These two clauses, according to Rana, have led to a quantum leap of Nepal's export to India. At the same time, there has also been a jump in the import of Indian products into Nepal. Hence, he said the 1996, Treaty has really been a win win situation on both side, he noted.

Arun Kumar Chaudhary, Vice President of NICCI, said that a few issues of concern to both Nepal and India have arisen that need to be addressed and amicably settled so that the essence and spirit of the treaty is preserved and further strengthened.

Jagadish Prasad Agrawal, Managing Director of Nimbus Marketing, said that the investment depends upon the certainty and predictability of investment climate, which the 1996 treaty had tried to usher in.

The issue is 'How can the renewal of the trade treaty provide assured in built certainty and predictability to future investors domestic as well as from India, he added. He further said that the focus has to be on streamlining the procedural strengthening of the treaty and instituting an efficient mechanism that can address the issues as they come.

Tirtha Raj Upadhyay, a chartered accountant noted that India being a stronger partner should help Nepal in reducing its unfavourable balance of trade, but Nepal has also respect right of India, as the terms of bilateral trade could only be negotiated mutually.

Himalaya Shumsher Rana, former governor of Nepal Rastra Bank noted that the issues related to the renewal of Nepal -India Trade Treaty should have been resolved much earlier in the interest of buoyant continuation of flow of trade and investment between two countries.

Dr. Vijay Katti, Professor and Chairperson of Indian Institute of Foreign Trade said that the existing text of treaty is not in the interest of Indian industry so the situation needs to be rectified so that Indian industry would not go in loss.

Shashi Kant Agrawal of NICCI also stressed the need for developing mutual understanding.

Shashi Raj Pandey extended vote of thanks at the end.

According to NICCI, the treaty of the Trade was modified in 1991. The new treaty was a milestone in fostering and enhancing economic cooperation between Nepal and India. The 1991 Treaty of Trade was renewed in December 1996. The renewal of the treaty was an achievement that further opened avenues for expanding trade and investment.

The treaty's objectives of accelerating industrialization in Nepal have shown fruitful results so far. After the renewal of the treaty of trade in 1996 both countries have witnessed a growth in trade. While exports from Nepal to India grew from five billion rupees in 1996, to over Rs 25 billion in 2001. Similarly, exports from India to Nepal also increased from Rs 24 billion to Rs 46 billion in the same period.

According to an RSS report the Nepal-India trade treaty expires on December 5.

Even though the Nepal-India trade treaty signed in 1996 has provision for automatic renewal after its expiry, a provision has also been made in the treaty for review of the treaty if any side wishes to do so. In accordance with this provision, India has asked for the review of the Nepal-India Trade Treaty.

Nepal Standard Quality Award to Himal Iron

By A Staff Reporter

Kathmandu, Oct. 16: Nepal Bureau of Standards and Measurement (NBSM) has decided to present this year’s ‘Nepal Standard Quality Award’ to Himal Iron and Steel Pvt. Ltd. of Parawanipur, Birgunj.

At a ceremony organised to mark the 32nd World Standard Day, the NBSM also declared the approval to give away letter of appreciation to Swodesh Cable Nepal and Nepal Biscuit Company Pvt. Ltd.

Similarly, Tribeni Cement Nepal, Narayan Vegetable Pvt. Ltd., Saurav Oil Mills, Singha Brewery Pvt. Ltd., Dugar Spices and Food Product, and Jaya Mangalam Cement have been granted to use Nepal Standard Mark on their products from this year.

So far, the NBSM has awarded its Nepal Standard Mark to more than a hundred industries that produce about 32 materials which include polythene pipes, biscuits, tooth paste, vegetable ghee, cement, soybean oil and so on. Currently, the NBSM is planning to award its standard mark to those industries that produce about 620 materials related to edibles, agriculture, chemicals, textiles and engineering.

Speaking at the function, acting president of Federation of Nepalese Chamber of Commerce and Industries Binod Bahadur Shrestha said that there was a need for fixing the standard of goods produced not only in Nepal but also imported from other countries.

"Needless to say that the consumers of 21st century are aware of the quality of goods and services," he said adding "since the Nepalese market is very small, we should produce standard goods in order to find markets abroad for the domestic products.

Joint Secretary at the ministry of Industry, Commerce and Supply Kalyan Bahadur Pradhan said that the slogan "Relativity between Environment and Standard" was very relevant at the present situation. He said production of quality goods was in the best interest for the consumers.

He also said that the Nepalese goods had failed to get into the Indian market due to their poor quality. "Therefore, we must pay our attention regarding the production of quality goods and the preservation of environment."

Director at the NBSM Purna Prasad Manandhar expressed satisfaction over the quality maintained by many of the Nepalese goods producers.

This year’s NS Award recipient Padma Jyoti, chairman of Himal Iron and Steel Industry Pvt. Ltd., said there was a need for honesty on the part of the industrialists and businessmen to provide standard goods to the consumers.

Colour ID phone service in Biratnagar

Biratnagar, Oct 16 (RSS): The Colour ID (telephone identity) telephone service has begun since yesterday in six districts of the Eastern Development Region.

According to the Nepal Telecommunication Corporation office chief Dev Narayan Yadav, 21,670 telephone clients of EWSD exchange in Morang, Sunsari, Dhankuta, Sankhuwasabha, Terathum and Bhojpur districts will receive the service.

About 1,452 users who are linked with the C DOT system in the six districts will be deprived of the service at present as they do not fit with the EWSD system.

Once the ID equipment is adjusted on the telephone set, the number ID of the telephone caller is easily identified, which helps control bluff calls and unwanted calls can be diverted.

For this service a client has to pay only Rs. 500 along with an application at the local office of the corporation.

In these districts, only 20 per cent of users will though receive sound service because of technical reasons and if provided more than that, problems like altered telephone dial tone can arise.

Meanwhile in Kathmandu, works of distributing 340 telephone lines as per the target of distributing 500 lines in Sindhulimadhi has begun in Sindhuli district.

The local office of the Nepal Telecommunications Corporation began works of extension in the Kamalamai Municipality for which cables works are underway after putting up poles at Ward No. 4, 5, 6, 7 and 9.

APRACA meet to discuss rural financing in Nepal

BY RAMESH PAUDEL

Pokhara, Oct. 16: The 44rth meeting of Asia-Pacific Rural and Agricultural Credit Association (APRACA) kicked off amidst a special function here today.

Inaugurating the regional meeting, Nepal Rastra Bank’s Governor Dr. Tilak Rawal said that political interference and administrative and legal obstacles in the private and public enterprises had come as impediments in generating resources for the target groups.

He further said that nominal investment in the global market was to blame for the low economic growth especially in the developing countries.

"Policy makers have a key role in shaping up the programmes for the economic development of every country," noted Dr. Rawal.

Dwelling on the agro-economy of the country, he pointed out the need for the banking sector to reach the target groups in rural and remote hills of the country by mobilizing the available resources.

From the chair, APRACA chairman Atty. Jesus Diaz said that the US attack on Afghanistan would invite a big economic crisis in the world. He also said that export and imports had witnessed ups and downs due to the changes in the financial sector of the region. This has also hit the tourism market of the region, he added.

APRACA ‘s Secretary General Benedicto S. Byaua, Executive Director of Nepal Rastra Bank K. K. Pradhan, General Manager of Nepal Rastra Bank Pokhara Branch Aswini Kumar Thakur highlighted the importance of the function.

This is the second time that the APRACA meeting was held in Nepal.

A total of 26 representatives from 21 countries are taking part in the meeting of the APRACA, which includes 52 organisations of 22-member countries across the world.

These countries are Nepal, Vietnam, China, the Philippines, Sri Lanka, Thailand, Indonesia, Kirgistan, Australia, Ajarbaizan, Bangladesh, Cambodia, Iran, Japan, South Korea, Malaysia, Myanmar, Kajakistan, Solomon, Iceland and Uzbekistan.

Bank and loan experts, representatives related to the central government and banks from the member country will extensively discuss the issues related to boosting the rural and agriculture economy of the region.

The participants will also visit the Gramin Bikash Bank (Rural Development Bank), Pokhara branch.

Nepal Rastra Bank, Agriculture Development Bank, Rastriya Banijya Bank and Nepal Bank Limited are members of APRACA.

APRACA is considered the biggest body of the organisations related to the agriculture and rural loan in the world.

According to an RSS the meeting which is held thrice in every two years, is being held in Kathmandu after eight years.

The meeting will hold discussions on giving final shape to the agenda deliberated on during the 43th meeting of the APRACA and 13th general meeting held in the Philippines in April, conducting various training programmes, budget and its membership at the meeting. The meeting will also finalise the programmes to mark the association's silver jubilee next year and take decision to grant Mongolia membership of the APRACA.

A seminar on "rural financing in Nepal: Challenges and issues" will also be held as part of the meeting.

'Contribution of Nepal Police great'

Kathmandu, Oct 16 (RSS): Minister for Physical Planning and Works Chiranjibi Wagle who is also looking after the Ministry of Home says that notwithstanding the difficult situation prevailing in the country, the great contribution being made by the Nepalese police to safeguard national dignity will remain unforgettable forever.

Minister Wagle was speaking at a function held to pay tributes to the late police personnel coinciding with Nepalese police day here today.

Wagle also wished that the sacrifices made by the Nepalese police for the sake of the nation and its people will be a source of inspiration for the entire police force to move ahead with discipline and high morale.

At the function, Minister Wagle also presented letters of commendation to the family members of the police personnel who laid their lives in the clashes with the Maoists in different parts of the country.

Inspector general of police Pradip Shamsher J.B. Rana expressed the view that Nepalese police force should make fresh strides in the interest of nation by pursuing the glorious history of the police personnel.

Noting that the police force should march ahead in deference to the people's aspiration vis-à-vis the protection of the fundamental rights of the sovereign people by making the Nepalese police force more stronger, effective and accountable, he urged the Ministry of Home to make necessary arrangements to provide compensations to 192 families of those police personnel killed in clashes with the Maoists.

Various organisations extending cooperation to the police force in one way or the other, the best investigating policeman and the best traffic policeman were awarded letters of commendations and Purna peace prizes.

In Nepalgunj, the mid-western regional police office celebrated the 7th police day by organising a function here today.

Tributes were paid to the policemen being killed on duty, freedon fighter and former DIG Dilman Singh Thapa felicitated and the policemen carrying out good work awarded on the occasion.

Likewise, eight policemen being promoted as head constables were given the insignia and the players winning the badminton tournament held under the police sports meet were presented prizes and certificates.

The arms and ammunitions seized from the Maoists, and the photographs of the policemen and civilians killed by the Maoists as well as the photographs of the Maoists killed by the people’s representatives and the policemen were also displayed on the occasion.

Chief district officer Balkrishna Prasain, SSP Ravindra Pratap Shaha, SP Ramesh Bikram Shaha and DSP Kallar Singh Thapa threw light on the importance of the police day and the contributions being made by the policemen.

Cash prizes were also given to the children of the policemen being killed by terrorists securing good marks in academics.

UPPER HOUSE
Code of conduct for NA members passed

Kathmandu, Oct 16 (RSS): Ramchandra Bhattarai of CPN-UML, soon after the start of the National Assembly meeting today, said that civil servants have been greatly inconvenienced and the Hindu religion and culture have suffered a set back due to the scrapping of the public holiday on the day of Ghatasthapana.

Bishweshwora Dahal of the same party informed the upper house that some masked Maoists looted property from a martyr's house in Jhapa yesterday and injured six members of the family.

Arbind Kumar Thakur of Nepali Congress complained of growing corruption at Janakpur Municipality, sales and distribution of alcohol and meat around the Ramjanaki temple, and lack of initiative towards the development of Janakpur area.

Bijul Kumar Bishwokarma, also of NC, complained of continued Maoist voilence in Dang district.

In another, report the National Assembly meeting today unanimously passed the National Assembly Members Code of Conduct.

Leader of the opposition party Yubaraj Gyawali had presented a proposal seeking endorsement of the Code of Conduct.

Earlier, responding to queries raised during clause-wise discussions, Gyawali said MPs should contribute to popularising the parliamentary system by cultivating their own image.

MPs Ram Chandra Bhattarai and Bijul Kumar Biswokarma emphasized the need for enforcing the Code of Conduct.

Meanwhile, Remote Area Development Committee chairperson Gaura Dahal presented the Monitoring and Evaluation Report of the Committee-2057 at the National Assembly meeting today.

The National Assembly meets again at noon tomorrow.

Likewise, the National Assembly Business Advisory Committee meeting today discussed the future programmes of parliament.

Chairman of the National Assembly and of the committee Mohammad Mohasin presided.

Navaratri begins today

Kathmandu, Oct. 17 (RSS): The "Navaratri Parba" or nine- nights festival of Bada Dashain, the great festival of the Nepalese, commences today.

The first day of Bada Dashain festival is called "Ghatasthapana" and falls on Aswin Shukla Pratipada.

On the day of Ghatasthapa, all the Nepalese worship diyo (an oil-fed lamp), kalas (auspicious jar) and Lord Ganesh in accordance with vedic rituals and sow maize and barley seeds in a jar fielled with soil and cow dung for germination of the auspicious "Jamara" (barley shoots).

Prayers are also offered to Durga Bhavani, the goddess of power today.

Germination of the aupicious "Jamara" is also initiated at Hanumandhoka Dashain Ghar in accordance with vedic rituals today.

Three is also a tradition of sacrificing animals while initiating germination of the "Jamara".

Also today, prayers are offered to goddess Mahakali, Mahalaxmi and Mahasaraswati at the Dashain Ghar, marking the beginning of Navaratri (nine nights).

The golden barley shoots and auspicious Tika are given by parents to their children and by elders to their juniors on the tenth day of the Bada Dashain festival with blessings for peace, progress and prosperity.

During Navaratri, thousand of devotees visit Naxal Bhagwati, Shobha Bagwati, Maitidevi, Guheshwori, Bhadrakali, Kalikasthan, Sankata, Mahankalsthan, Naradevi, Bijayeswori , Indrayani, Dashinkali , Chamunda and other shrines of goddess Durga Bhavani.

People also recite sacred verses and hymns dedicated to Durga Bhavani at temples and shrines as well as in their homes throughout the Dashain festival.

On the occasion of Bada Dashain all educational institutions throughout the country remain closed from today.