India approves Nepal’s request for wheat supply amid regional cooperation

India has agreed to provide Nepal with 200,000 tonnes of wheat following a formal request made by Nepal. This decision was announced during a two-day meeting of the India-Nepal Inter-Governmental Committee (IGC) on Trade, Transit, and Cooperation. The meeting took place in Kathmandu on January 10-11, focusing on improving trade and economic ties between the two neighbors.

Discussions on key trade issues

The Indian delegation, led by Commerce Secretary Sunil Barthwal, addressed several trade concerns, including challenges faced in exporting milk products to Nepal. Nepal assured India that it would consider requests for importing milk products like whey and cheese, which are not produced in large quantities locally.

The committee reviewed trade agreements and discussed updating the Treaty of Transit and the Treaty of Trade. They also talked about infrastructure development, including electrifying the Raxaul-Birgunj rail line to improve cross-border transport.

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Both sides committed to combating illegal trade and ensuring better market access for goods. India agreed to include new items like sal seeds, chayote, and other plant products in its plant quarantine list, addressing Nepal's export concerns.

Strengthening economic ties

India expressed its willingness to ease transit regulations for Nepali vehicles carrying goods through Indian routes. This includes allowing higher axle weight limits for cargo trucks traveling between Nepal, India, and Bangladesh.

Nepal also appreciated India’s consistent support in providing essential supplies. The meeting highlighted efforts to enhance connectivity through new Integrated Check Posts and rail links. A Joint Business Forum, organized by industry groups from both countries, discussed further ways to boost trade and investment.

The discussions and agreements at the IGC meeting reflect the strong economic and trade partnership between India and Nepal. Both nations aim to continue resolving trade challenges and strengthening ties for mutual benefit.