Work to acquire land for dry port in Rasuwa begins

Wed, Jul 23, 2014 12:00 AM on Others, Others,

KATHMANDU, JUL 23 -

The Ministry of Commerce and Supplies (MoCS) has moved to acquire land in Rasuwagadhi, Rasuwa to build an inland container depot (ICD) after the Forest Ministry cleared the way for acquisition of land under its jurisdiction.

China has pledged to construct the dry port on the northern border which is expected to facilitate trade between the two countries. After the land acquisition process is complete, the ministry plans to write to the Chinese authorities to proceed with the construction of the ICD.

MoCS officials said they had recently written to the Finance, Home and Physical Planning and Urban Development ministries and the Nepal Intermodal Transport Development Board for assistance to complete the land acquisition process and upgrade the infrastructure including the customs office.

A ministry official said they had sent an informal notification to the Chinese government to begin construction of the proposed ICD. “The Chinese government which will be bankrolling the construction of the dry port has agreed to conduct a feasibility study soon,” the ministry source said. The MoCS moved ahead with the dry port project after the Cabinet okayed the land acquisition proposal of the Ministry of Forest and Soil Conservation on June 12. The Forests Ministry has agreed to provide five hectares of land to build the dry port.

The long planned dry port project has been held up due to delays over land acquisition. As the proposed site falls inside the Langtang Conservation Area, the Forest Ministry had been hesitant to provide land for the ICD due to environmental concerns. The dry port will be located at an historic site straddling an ancient trans-Himalayan trade route.

In the project’s first stage, the MoCS has planned to upgrade the customs office besides improving the road network in the area. The proposed dry port site will be located at a distance of 30 km from Dhunche, the headquarters of Rasuwa district.

A MoCS source said that a road connecting the dry port with Batetar in Nuwakot district will be constructed. “The Chinese authorities have already started construction of a highway on their side that will link with the dry port,” said the source.

During the visit of the then Chinese Prime Minister Wen Jiabao in January 2012, China had agreed to support Nepal in upgrading dry ports at six major customs points along the northern border including Rasuwagadhi.  The other dry ports that China has agreed to strengthen under the agreement on Management of Ports on the China-Nepal Border are Pulan-Yari in Humla district, Zangmu-Kodari in Sindhupalchok and Riwu-Olangchung Gola in Taplejung.

Similarly, Lizi-Nechung in Mustang district and Chentang-Kimathanka in Sankhuwasabha district are among the border points where dry ports will be built.

Though there are half a dozen points along the northern border with China through which trade can be conducted, only Larcha customs on the Tatopani border has been handling a significant amount of commerce. The upgrading of Larcha Dry Port has been started and it is expected to come into operation by February 2015.

The proposed dry port in Rasuwa is expected to facilitate bilateral trade by providing an alternative route for shipment of goods.

According to the Trade and Export Promotion Centre, exports to China surged 15.7 percent to Rs 2.32 billion in the first 11 months of the last fiscal year. Similarly, imports from China rose 10.8 percent to Rs 69.87 billion during the period.

SOurce: The Kathmandu Post