Pvt sector seeks role in pacts' implementation

KATHMANDU:

To expedite the agreements regarding economic integration among SAARC countries, the private sector has sought its representation in the implementing mechanism.

As the SAARC member nations are expected to sign three crucial agreements, namely, Framework Agreement on Energy Cooperation, SAARC Agreement on Motor Vehicle, and SAARC Regional Railways Agreement during the 18th SAARC Summit, the private sector has said the pacts should generate more positive outcomes than in the past.

“So far, member nations have been unsuccessful in implementing regional level agreements properly as the progress had been mired by politics and bureaucracy,” said Suraj Vaidya, senior vice chairperson of SAARC Chambers of Commerce and Industry (SAARC CCI), adding, “Crucial agreements in energy cooperation and land connectivity that are expected to be signed should be implemented effectively and that can happen with the involvement of the private sector.”

The SAARC CCI has been requesting the Nepal government, who is the organiser of the 18th SAARC Summit and the chair of the Summit, to include the private sector as a part of implementing mechanism as well as to felicitate the topnotch business people of the region on the sidelines of the main event, according to Vaidya. “Acknowledging their contribution will also encourage the business people to increase trade and investment within the region.”

Organising a press meet here today, SAARC CCI expressed alarm regarding the economic agendas of the previous Summit that were not implemented and said the declaration of the upcoming meet should address those issues.

Even as the SAARC member nations had signed South Asian Free Trade Agreement (SAFTA) in 2006 to facilitate free trade of goods among the member countries, the sensitive list and rules of origin pose hurdles in implementing the agreement.

“Least developed countries (LDCs) within SAARC can enjoy low tariff while exporting goods to member countries as per SAFTA, but the country can’t issue certificate of origin without value addition of up to 30 per cent,” informed Shankar Pandey, a member of SAARC CCI Nepal. According to him, even though commerce ministers of the SAARC nations have gathered numerous times to discuss reducing the amount of value addition, there has been no headway in the deadlock. “So, this issue should be addressed by the heads of the governments,” he stated.

Likewise, the private sector has also stressed on the simplification of food withdrawal mechanism from SAARC Food Bank. Member countries can take food from the SAARC Food Bank if the food production falls by more than eight per cent compared to the food production of the previous year due to natural calamities and shortage of food.”

As the challenge of food security in South Asia is growing, the process of contributing food in the SAARC Food Bank and withdrawing should be simplified,” said Gyanendra Lal Pradhan, another member of SAARC CCI Nepal.

RB Rauniyar, member of SAARC CCI Nepal, stressed on railway connectivity among South Asian nations to reduce transport related costs in trade.

Likewise, other two members of the SAARC CCI Nepal, Shreejana Rana and Saurabh Jyoti, laid emphasis on utilising the potential of the population for the overall benefit of the region, rather than viewing them as liabilities. Rana argued for the preferential market arrangement on handicraft and other products produced by women to empower them economically. Jyoti, on the other hand, said that youth entrepreneurship could transform the face of South Asia.

Rana is past vice president of the SAARC Chamber Women Entrepreneurs Council (SCWEC) and Jyoti is currently chairing the SAARC Chamber Young Entrepreneurs Forum (SYEF).

Source: THT