MoFA hindered plan to import LP gas from China: Bottlers

Wed, Oct 28, 2015 11:53 AM on External Media,
Petroleum traders have said their plan of importing liquefied petroleum (LP) gas from China failed to take off because of lack of support from the Ministry of Foreign Affairs (MoFA). They said MoFA refused to provide needful documents to the interested traders even though Chinese entrepreneurs had shown interest to export LP gas to Nepal.
Following assurance from Chinese entrepreneurs, a three-member team of LP gas bottlers was set to visit Nyalam, China, to study the feasibility of importing the popular cooking fuel from the Chinese town. "But we couldn't visit Nyalam as MoFA refused to issue us necessary letters," Shiva Ghimire, one of the members of the team and chairman of Om Shiva Petro Pvt Ltd, told Republica. After LP gas supply aggravated, bottlers had submitted a proposal to Nepal Oil Corporation (NOC) to import LP gas from China. NOC had forwarded the proposal to Ministry of Commerce and Supplies (MoCS) which letter sent it to MoFA. "When we approached MoFA seeking reasons for its reluctance to issue letters, officials there said top authority has directed them not to issue any letter to private sector regarding LP gas import," Ghimire added. "In the absence of official letter, we couldn't apply for visa at the Chinese embassy." Meanwhile, Deepak Adhikari, deputy spokesperson of MoFA, refuted the allegations of private sector. "We couldn't process the proposal forwarded by the private sector as the Chinese Embassy has clearly stated that LP gas cannot be imported through the process proposed by the private sector," Adhikari said. "Officials of Chinese Embassy have told us that import of fuel, including LP gas, has to be through government-to-government channel only." CHINESE LP GAS WILL BE CHEAPER: BOTTLERS Gas bottlers have claimed that price of LP gas imported from China will be cheaper compared to the gas sourced from India. "If China provides LP gas as per the international price rate, it will be cheaper by around Rs 100 per cylinder," Nepal LP Gas Industry Association President Shiva Ghimire said. LP gas imported from India is retailed at Rs 1,400 per cylinder. According to Ghimire, China National Petroleum Corporation (CNPC) has agreed to supply LP Gas and other petroleum products to Nepal as per the international rates. Meanwhile, Ghimire urged the government to do needful for reopening Tatopani trading point as soon as possible. "The Tatopani route will be shorter by 128 km compared to Kerung. It can make a difference in fuel price," he added.
Source: Republica