Nepal-India railway talks concludes positively

July 20, 2006
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The second review meeting of the Nepal-India railway service agreement to make operations of the largest Inland Container Depot (ICD) in Birgunj more effective concluded in Kathmandu Wednesday with decision on minor issues.

Joint secretary of the Ministry of Industry, Commerce and Supply, Naindra Prasad Upadhyay, who led the Nepali delegation in the talks, told Nepalnews on Thursday that India was positive on the demands put by Nepal regarding the facilities of flat (open) wagon, tank wagon and refer (refrigerated) containers. Discussion was also held on the possibility of formal integration of customs procedures.

Transportation of cement, coal, raw materials for iron, steel and many other industrial goods are preferably done in flat wagon while biscuits, sweets and other consumable goods are done through refer containers. At present, the ICD operates with closed wagons, which serves movement of containerized cargoes only.

The meeting basically focused on operational problems seen in the smooth functioning of the ICD.

India agreed to extend the normal period of train’s stay in Nepal – from the time train enters Nepal from Raxual till it returns there – from eight to nine hours for which Nepal would not have to pay extra charges.

Upadhyay said India also agreed not to charge over night stay of trains in Nepal if it did not arrive at the depot between 6 a.m. and 10 p.m.

The meeting is being held at a time when the only railway-linked ICD has failed to increase business transaction of Nepal with India and third countries. The deport is linked with Kolkata, the capital of the Indian state of West Bengal. The ICD was expected to facilitate Nepal’s trade with India’s major Indian markets and industrial hubs and third countries.

The ICD came into operation from July 2004 and the first review meeting was held last December. Review meetings are held every six months.