Nepal for operations of all types of rail cargo
KATHMANDU, Feb 25:
Nepal and India are finally reviewing bilateral Railway Service Agreement (RSA) in March to pave the way for movement of rail cargo between any Inland Container Depots (ICDs) and Integrated Check Posts (ICPs) in Nepal and additional sea ports in India.
Naindra Prasad Upadhyay, joint secretary at the Ministry of Commerce and Supplies, said officials of the two countries are convening for the review in Kathmandu on March 1 and 2. He, however, refused to divulge details.
Officials of the two countries had met for review talks in New Delhi in 2009. Though nothing transpired during the meeting, they had agreed to hold follow up meeting in six months. But no such meeting was held over the past two years due to Indian apathy for the review of the agreement.
Reliable sources at the ministry said Nepal, during the meet, would seek India to expand movement of rail cargo to and from any ICDs in Nepal and agreed sea ports in India. The existing agreement signed in 2004 limits movement of bilateral rail cargo to Birgunj ICD and Indian ports of Kolkata and Haldia.
“As broad understanding to this connection was build during previous review meeting, we are confident that India will agree to our proposal,” said the source.
Nepali officials and private sector, including Federation of Nepalese Chambers of Commerce and Industry, have long been saying that unhindered movement of railway containers to any ICDs of Nepal from all assigned Indian ports was important to enhance the flow of overseas goods to Nepal.
Most importantly, such a revision was necessary if Nepal is to make use of and best utilize the newly agreed Indian port - Vishakapatnam - for third country trade. “The review is needed also if Nepal is to make use of Rohanpur-Singhbad railway route for trade with Bangladesh and other third countries,” said the source.
Currently, Birgunj ICD has been brought into operation to carry railway wagons from Kolkata and Haldia ports. Similarly, Birgunj ICP is expected to be operationalized from this year. Other ICPs in Biratnagar, Bhairahawa and Nepalgunj are under construction.
Nepal is also requesting India to allow operations of all types of rail cargos and containers under the reviewed RSA. Currently, RSA allows movement of closed cargo only. As a result of the delay in reviewing the agreement, Nepal has been left deprived of enjoying benefits of operations of bulk open cargo and refrigerated wagons.
“This is inflicting us a loss of around Rs 7.3 million each day since more than two years,” said Rajan Sharma, president of Nepal Freight Forwarders´ Association (NEFFA).
Nepali traders also complain that the Container Corporation (Concor) of India -- the Indian partner in the Himalayan Terminal that is managing the Birgunj ICD and also responsible for arranging containers -- has not been providing proper services. Referring to it, Sharma said freight forwarders have event suggested to the government to ask India to allow Nepali traders to take services from private rail service providers.
Apart from that, Nepal would also seek India to incorporate a provision of waiver of detention charge. It would also request India not to treat placement of trains as placement unless handling is possible.
Source: Republica
