Nepal-India Relations
Example Of Good Neighbours

By Chiranjibi Paudyal

IT is not an exaggeration that the relation between Nepal and India has remained close, cordial, warm and friendly since ancient times. This cordiality has always blunted occasional comments and suspicion about the relations between the two countries. The relations between the two South Asian neighbors are exemplary. The cordiality is not only at the government level but also at the people's level.

Equality

Politics has little to do with the relation between the two countries as the relation was founded by the people since time immemorial. Thousands of people cross the border every day without any difficulty and cement the ties based on the solid foundation of our tradition, culture, religion and many other common bonds of friendship. In spite of this free flow of contacts between the peoples of the two countries and heart to heart relations, there is always suspicion about this cordiality on both sides of the border. In size, India is very big compared to Nepal and other south Asian countries. Nepal has also a very glorious history. Nepal never remained under the colony of any country and unity in diversity always remained the identity and glory of Nepal for hundreds of years. Every citizen is proud of it. Every country has its own unique feature and its comparison to others has no meaning.
There should be no feelings of suspicion about the size and population of any country and that does not count much in the present context. Every nation, big or small, developed or developing, has equal status and are members of the United Nations. They can enjoy equal response and prestige in the international community. It depends on the particular nation to earn glory and prestige through development and other activities. The relation between Nepal and India is not and should not be guided by the feeling of small or big.

The situation between Nepal and India is totally different from the condition of other countries so we have an open borders. The open border is an exemplary of the strong friendship of the two countries from where thousands of people of the two countries cross each day carrying the message of good will. The situation has changed now in the context of increasing cross border terrorist activities not only in South Asia but also throughout the world. In such circumstances, there is the need for effective management of the border by strengthening security and sharing information between the two countries. Management of border is essential to curb terrorist and other activities.

Closure of the border is not a solution to any problem of the two countries rather it is the beginning of the problem. Provision should be made to safeguard the interests of a small country like Nepal. Speaking at a function, Indian Ambassador Shyam Saran said recently that Nepal should take the benefit of open border, the open border is not a hindrance for Nepal but it is an opportunity.
India is a big market and the big market next door to us could be important to attract foreign investment and Indian tourists. Indian investors which comprise over 50 per cent of Nepal's joint investment could also be attracted and millions of dollars of revenue and thousands of employment could be generated in the country. If it is properly implemented in action rather than in slogans and speech, Indian investment can change the development structure of Nepal. So is the case of trade promotion.

There are a lot of areas from which Nepal and India both can take benefit. The clearly seen possibility is in water resources sector. There is shortage of electricity in the northern bordering areas due to the industrialisation in India and Nepal has the capacity of producing electricity from its abundant source of water resources. Such areas are not fully utilised for the benefit of the peoples of the two countries. How are small countries taking benefit from their big neighbours in the world? Nepal should seriously think on taking proper benefits. The relation of the two countries is also like the relations of close friends. There are ups and downs in the relations of the countries like in the life of an individual. The overall relations of the two countries should not be judged just exaggerating these ups and downs which occur like the wave of the ocean. The relations rooted in the strong foundation in the heart of people of the two countries could not be dismantled. It is the heart to heart relations spontaneously developed in people. Such small happenings should not affect our friendly relations nurtured for centuries.

International situation has changed a lot in the last few years especially after the September 11 terrorist attacks in the USA.

The new threat of terrorism has brought drastic change in the world after the end of the cold war more than a decade ago. Fight against terrorism has been the sole priority around the globe. The South Asia region is also facing the problem of terrorism for the last few years and this has brought the two closer. Time has changed a lot, therefore, the relations should also be transparent, clear and friendly. For that, the issues like Kalapani, 1950 treaty should be made clear with the common consensus of the two countries. Such issues should not be raised time and again and when these issues are being raised in some level, then there is the need to finalise such issues in view of the cordial, friendly relations of the two countries. Rumours, suspicions and politicisation of the issue plunges the relations. These are not serious issues in view of the deep friendship in the heart of every citizen of both the countries. There should be no suspicion and doubt about true friendship.

Future

After the visit of His Majesty King Gyanendra Bir Bikram Shah Dev to India last year, a senior Indian minister said "This time, the relations of the two countries is in the peak" due to the frequent interactions and exchange of visits at the high level. The words of Indian senior minister Sushma Swaraj clearly reflect the feelings of people of the two countries: "The relation between Nepal and India is always good and will remain good in the future."

Nepal, Australia Ties Cordial

By Sharachchandra Bhandary

NEPAL and Australia have enjoyed very cordial relations since the establishment of diplomatic ties between these two countries on February 15,1960. Australia opened its residential embassy in Kathmandu at the level of Charge d'Affaires in 1984, Later, it was upgraded to the ambassadorial level in 1986 that ushered in a way to consolidation of friendly ties between Nepal and Australia into new heights.

Cooperation

Nepal has been receiving assistance from Australia in the fields of forestry, livestock development and human resource development. Sizeable number of Nepalese students are also opting to go to Australia for higher studies on self finance in recent years. Australia has been granting twenty four scholarships to Nepalese students every year.

The volume of trade between Nepal and Australia is not so large. Nepal exported goods worth Rs. 109.872 million to Australia in the year 1999/2000 whereas its imports valued at Rs. 589.281 million in the same period. Bilateral trade is heavily in favour of Australia. Recently Australia was awarded a contract to print the 10 Rupee polymer bank notes for Nepal Rastra Bank Which have already come into circulation.

During the recent Asia-Pacific Economic Cooperation (APEC) meeting held in Mexico Australian prime Minister John Howard announced that Australia would provide the least developed countries with duty-free and quota-free access for their products into the Australian markets. The decision will take effect from July this year which is expected to boost Nepal's declined export and improve economy.
Statistics show that every year a good number of Australian tourists visit Nepal. The number of visitors from Australia is growing steadily. In the year 1997, ten thousand two hundred and twenty seven Australian tourists visited Nepal whereas the number of tourist arrival grew to eleven thousand one hundred and thirty-two in 1998. The figures for 1999 and 2000 are eleven thousand eight hundred and seventy three and twelve thousand one hundred eighty nine respectively.

An Australian company named Snowy Mountains Engineering Corporation (SMEC) is working in the West Seti Hydro Project with a potential of 750 Mega Watt of power generation. A Memorandum of Understanding in this regard was signed between His Majesty's Government of Nepal and the company in 1994.

Similarly, a Survey License Agreement was signed between HMG/N and SMEC in June 1997 which was subsequently amended in December 1998. Likewise, in May 1997, a Power Export Agreement was also signed between HMG/N and the SMEC.

HMG/N is yet to issue a Power Generation license to the SMEC as the latter has not yet entered into Power Purchase Agreement with the Indian parties and also that HMG/N is awaiting the furnishing of financial conditions by the SMEC. The SMEC is also in the process of working out details on the sale of power to different Indian states and private bulk buyers.

Besides, a few Australian NGOs including Nepal Eye programme- Australia (Tilaganga Eye Center), the Austcare and Plan International Australia are also operating in Nepal.

Australian investors are also involved on a modest scale in aviation industry including helicopter service and hot air ballooning. Dynasty Aviation Private Limited with an authorised capital of NRs. 56.82 million (78 per cent foreign share portion) is operating aviation services with a fleet of two helicopters. Likewise, Australian Business Technology INS-Nepal is operating in Kathmandu with an authorised capital of NRs. 1.40 million in the sector of education and training. Foreign share of this company, however, is only to the tune of six per cent.

Visits

Exchange of high level visits have also helped greatly in further strengthening bilateral relations between Nepal and Australia. His Late Majesty King Mahendra and Queen Mother Ratna paid State visit to Australia in 1971 and Their Late Majesties King Birendra and Queen Aishwarya also paid State visit to Australia in 1985. Their Majesties King Gyanendra Bir Bikram Shah Dev and Queen Komal Rajya Laxmi Devi Shah paid a visit to Australia as Their Royal Highness the Prince and the Princess in 1988.

Representing Australia to the auspicious coronation of His Late Majesty Birendra Bir Bikram Shah, the then Governor-General of Australia John Kerr visited Nepal in 1975. Tim George, Assistant Secretary, Department of Trade and Foreign Affairs paid an official visit to Nepal in 1998.

Musing Over E. Diplomacy

By PNK

IT'S diplomacy in everything these days. In fact, nothing moves nowadays without any attachment to politics. It's family politics at home. The bigger politics has the national hue. Whatever that may be politics has a role to play in honing the skills whether it be verbal or the physical sort with brawn playing its part. But, this is not what diplomacy aims at solely.

Yes, however, diplomacy has to be resorted to when it comes to resolving political issues. It's as good at home as well as on a global scale. After all, diplomacy is not considered dirty as they tend to call politics. The skill at diplomacy does not come easy. It is not a suited and booted look that makes one an expert. It's more of the brain than anything else.

In any conflict of interests, it is the agreement on some issues that bring the warring sides to sit for talks. Without any common agenda no two conflicting parties would sit at the table. Differences of interests lead to conflicts but it is the convergence on at least one point that makes exchange of ideas and views to resolve outstanding issues possible.

There is however another point to take note of. Diplomacy may be a word coined keeping in view the changing political situation not only at home but also at the international level. Remember the name of Henry Kissinger and the ping-pong diplomacy. That paid off just because of the diplomat's exquisite skill at handling intricate issues at hand.

Relations between any two countries see many ups and downs just because of trivial issues most of the time. It's only at times that major problems turn up. Talk of USA, Iraq, North Korea and so many other countries that vie a place in the list.

Nepal too has learned that diplomacy is required to deal with its many problems. It's not that our country does not have people versed in the art of diplomacy but they have been appealed to only sometimes.

In the long list of things to be done with the economy not looking vibrant, ideas are afloat for turning to economic diplomacy. Well, it however means that the diplomatic missions abroad have to receive orientation on this particular thrust. Economic diplomacy is not a word that has popped up the other day but one used for a number of years but not given the focus that was required. As long as the economy was doing something that is looking ahead no one got the idea of going straight for the economy diplomacy stuff. But, now the realisation has dawned.

Economic diplomacy may well get us moving on the right track to get the sagging economy on its firm footing. It does not mean a globe trotting job for some with the requisite perks. It means that looking out is what is required. It also does not mean that the seats will be overbooked on flights. It has implications in the long run. Economy upright means a rise in the living standard. Economic diplomacy must not remain a dream or something scribbled down in paper but something concrete and practical.

Bring the NRNs into the picture and you got a perfect recipe for economic diplomacy to work its way towards the nation's prosperity. After all who doesn't want prosperity. The non-resident Nepalese, the NRNs, though spread all round the world cannot forget their motherland. It's reflected in their eyes-a longing for a prosperous Nepal.

All combined will make the economic diplomacy effort a success, no doubt, albeit with a bit of vision.