Meeting of India-Nepal IGC on Trade, Transit, and Cooperation to Combat Unauthorized Trade
11 January 2025
The India-Nepal Inter-Governmental Committee (IGC) on Trade, Transit, and Cooperation to Combat Unauthorized Trade convened in Kathmandu, Nepal, on 10-11 January 2025. The meeting, which focused on strengthening bilateral trade and economic ties, conducted a comprehensive review of India – Nepal trade and economic cooperation, including market access, IPR issues, proposed amendments to existing agreements, review of the Treaty of Transit and the Treaty of Trade, harmonization of standards, and development of trade infrastructure, as well as the electrification of the Raxaul-Birgunj rail line.
The delegation from India was led by Mr. Shri Sunil Barthwal, Commerce Secretary of the Government of India. The delegation from Nepal was led by Mr. Gobinda Bahadur Karkee, Industry, Commerce and Supplies Secretary of the Government of Nepal.
Outcomes of the meeting include:
- Agreement by India to supply 200,000 MT of wheat to Nepal
- Agreed concessions by India regarding axle weight regulations for Nepali vehicles entering India on specific transit routes. Maximum axle weight of 18.5 tonnes for two axle vehicles and 28 tonnes for three axle vehicles will also be applicable to cargo-in-transit from Nepal on the Kakarbhitta (Nepal)-Banglabandha (Bangladesh) via Phulbari (India) route.
- Acceptance by India of Nepal's requests to include Sal Seeds and Chayote in its Plant Quarantine Order
- Consideration by Nepal to review documentation for reclassifying specific products and consider India's request regarding milk exports
- Commitment by both countries to enhance cross-border connectivity through the construction of new Integrated Check Posts and railway links
- Agreement to form a Joint Working Group to discuss the acceptance of Online Certificates of Origin (CoO) with Nepal and the SAFTA.
The 2nd edition of the Joint Business Forum was also held on the sidelines of the IGC, organized by industry associations from both countries. The Forum provided a platform for businesses to suggest improvements in bilateral trade and investment.
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