In the meeting of Nepal-India Inter-Governmental Committee (IGC) held in Kathmandu in December 2013, India had agreed to remove non-tariff barriers on selected products and recognize laboratory certification done in Nepal. But Nepali farm products have not been able to enjoy the facility given by India because of the delay in finalizing the products.Shambhu Ghimire, spokesperson of Ministry of Commerce and Supply (MoCS), said they were in the process of finalizing the list of products to enjoy the facility.
MoCS recently forwarded specifications of selected agro-products to India as demanded by the Indian government. Ministry officials are hopeful that the next ICG meeting to be held in New Delhi would formally finalize over three dozen Nepali farm products including ginger, mango, mustard and onion.
India has recently sought suitable dates for the IGC meeting co-chaired by commerce secretaries of the two countries.
MoCS officials are hopeful that the meeting of IGC sub-committee to be held on the sidelines of the IGC meeting will take final decision on the issue. The sub-committee is co-chaired by joint secretaries of both the countries.
Trade agreements between Nepal and India state that Nepali agricultural products can be exported to India at zero or nominal customs duty. However, many Nepali farm products as well as phyto sanitation certification issued by Nepal are not in positive list prepared by the Indian customs.
The meeting of Nepal-India Joint Agriculture Working Group held earlier this year had also stressed on the issue. Currently, India imports nominal quantity of some Nepali agro products for the purpose of research.
Arun GC, agricultural extension officer at Ministry of Agriculture Development (MoAD), said that the selected products have export potentials and can be exported in sizable volume.
Former commerce secretary Purushottam Ojha said lack of coordination between MoCS and MoAD is delaying process of preparing list of selected agro products. "MoAD should ascertain production capacity, and MoCS should explore export opportunities," he said, adding, "We need to have standard products and accredited laboratories. We also need to strengthen our certification process."
Speaking at a program, Indian ambassador to Nepal Ranjit Rae on Monday admitted that exporting Nepali agro-products to India is a genuine problem. Stating that product selection process is underway, Rae said India will allow quarantine exemption on Nepali agro products soon.
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