Indo-China trade agreement against international norms, says Nepal
The Nepal government has objected to the agreement between India and China which seeks to increase bilateral trade through land routes, saying the pact is against the international norms. During Prime Minister Narendra Modi’s visit last month, India and China signed an agreement to enhance trade through land routes covering Lipu-Lekh Pass. “The two sides agreed to hold negotiation on augmenting the list of traded commodities and expand border trade at Nathu La, Qiangla/Lipu-Lekh Pass and Shipki La," said a joint statement issued by the two governments on May 15. The hilly terrain located far west of Nepal connects the Himalayan country with its two neighbours. According to reports, the Nepal government has asked its foreign ministry to study the Indo-China pact and ascertain whether it was against Nepal’s territorial integrity. Reports also say that officials of Nepal embassies in New Delhi and Beijing have also been instructed to take up the matter with the respective governments. Despite repeated attempts, Nepal embassy officials in New Delhi could not be reached for comments. Being one of the oldest trade route in the region, the Lipu-Lekh Pass near Kalapani border has strategic importance and Nepal often claims the area as its territory. However, traders say such a dispute will not affect business. “It is just a minor issue which can be resolved with the involvement of Nepal. But the intention to boost the bilateral trade between India and China will remain firm,” Tilak Raj Manaktala, President of Delhi Exporters Association, told The Dollar Business. Experts say that the trade route is not used very frequently for high-value exports or imports. However, it serves as an important transit point for small exporters and importers based in Uttarakhand.
June 10, 2015 | 7:42 pm IST.
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