Commerce ministry unveils 100-day action plan

Kathmandu February 3- Focusing on development of trade-related infrastructure and export promotion, Ministry of Commerce (MoC) unveiled 100-day action plan on Tuesday.

The action plan — being implemented from today to May 13 — has envisioned expediting execution of key projects under MoC and formulation, harmonization of legal frameworks for productive capacity enhancement, trade facilitation and boosting export.

Unveiling the action-matrix of the 100-day work plan, Minister for Commerce Deepak Bohara said that he is confident the ministry will be able to accomplish the set target and assured that he will extend full support to his team for the same.

MoC has prioritized expediting development of trade-related infrastructure, primarily kick-starting process of establishing internationally accredited labs for quality tests of export products. Till now, traders have been compelled to depend on labs of India and other nations to get their products certified before they can be shipped to the export destinations.

Similarly, detailed designs of Inland Clearance Depot/Container Freight Stations (ICD/CFS) have been incorporated in the action plan. The MoC will develop detailed design of ICD Timure at Rasuwagadhi and ICD/CFS at Chobhar of Kathmandu.

The ICD Timure at Rasuwagadhi is going to be built with the assistance of China government. It is expected to play a crucial role in boosting trade relations with the northern neighbor because the Rasuwagadhi (Nepal)-Jilong (China) border point is linked with Mid-Hill Highway. The China government-owned Architectural Reconnaissance and Design Institute of Tibet Autonomous Region has already started detailed design works. However, government has yet to complete land acquisition process at the site.

Similarly, NIDC Development Bank, which owns the machineries of Himal Cement, has not demolished the structure and cleared the project site for ICD/CFS at Chobhar of Kathmandu. The World Bank Group has already threatened Nepal Intermodal Transport Development Board — executing agency of the project — it would withdraw pledged amount if the works of the detailed designs are not initiated by March.

The ICD/CFS at Chobhar is going to be developed mobilising soft loan amounting to $15.5 million from the World Bank Group.

Apart from the aforementioned projects, MoC aims to initiate the process of setting up cold storage facilities at dry ports of Kakarbhitta and Birgunj, develop CFS at Kolkata Port and expand the yard of ICD Bhairahawa.

The government also plans to complete the construction and maintenance of earthquake-ravaged ICD Larcha of Sindhupalchowk district. China-based contractor, Beijing Real Estate Group Company, halted the works of Chinese government-supported ICD project after the devastating earthquake of April 25. China government has pledged Rs 1.2 billion for the ICD project at Larcha, which falls near the Tatopani border point.

In addition, MoC has also said that it will commence feasibility study of ICD at Chadani-Dodhara of far-western development region.

Similarly, to enhance and diversify the export performance, the MoC will prepare the profile of major export markets. The study would be SWOT (Strengths, Weaknesses, Opportunities and Threats) analysis of the tariff and non-tariff measures, customs rules, market space for the products (produced in Nepal), and other logistics information.

The Ministry of Commerce will also conduct survey regarding the non-tariff barriers (NTBs) in export of priority export products in various export markets. Participation in trade fairs has also been placed in high priority. Upgradation of customs services, optimum use of information and technology, reducing transport logistic by effectively monitoring rail service from Kolkata to Birgunj, implementation of export-import code are listed under main concerns for facilitating trade.

The action plan also acknowledges the need to conduct necessary groundwork to obtain facilities from multilateral and bilateral trade arrangements and agreements. Source: THT