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ECONOMY

500 cargo containers stopped in China, Nepali traders in trouble

KATHMANDU, Sept 5: After China unilaterally closed two major trade points between the two countries citing the cause of COVID-19, about 500 containers that were headed for Nepal have been stopped on the Chinese side of the border. The Himalayan Cross-Border Chamber of Commerce said that when the Chinese side closed the Rasuwagadhi and Tatopani border crossings without giving prior information, the cargo containers that were coming to Nepal were stuck on their way in China.
By Dilip Paudel

KATHMANDU, Sept 5: After China unilaterally closed two major trade points between the two countries citing the cause of COVID-19, about 500 containers that were headed for Nepal have been stopped on the Chinese side of the border. The Himalayan Cross-Border Chamber of Commerce said that when the Chinese side closed the Rasuwagadhi and Tatopani border crossings without giving prior information, the cargo containers that were coming to Nepal were stuck on their way in China.


According to Bharat Karki, general secretary of Himalayan Cross-Border Chamber of Commerce, trucks and containers carrying materials such as clothes, mobile phones, raw materials for shoes, walnuts, fertilizers, apples, ginger, garlic, etc. were stopped from entering Nepal. "Approximately 480 cargo trucks have been stopped after China suddenly closed the border without giving any prior notice," said Karki, "The trucks have goods targeted for the Dashain festival." After the COVID-19 infection was seen in Shigatse, China completely closed both border points on August 10.


China has closed two border crossings with Nepal citing the increase in the outbreak of COVID-19 in its autonomous region of Tibet. Trucks and containers traveling to Nepal carrying goods worth millions of rupees for Dashain were stopped on the Chinese land, and now traders are in trouble. China has closed the borders in this way many times in the past. Traders are in confusion as there is no certainty of the opening of the border. Trucks and containers are stranded between Lhasa and the Nepal-China border.


Traders complain that China has closed the border even though the border should be regularized by meeting the international standards related to COVID-19. This is not the first time that China has closed the border. "The checkpoints were closed several times before," said Karki, "Due to which the traders have suffered."


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Traders say that if they had closed with prior notice, the goods would not have been stuck. The businessmen complain that no diplomatic initiative has been taken by the government regarding the regularization of the border crossings. Businessmen have also made a written request to the Ministry of Industry, Commerce and Supplies, Ministry of Foreign Affairs, Office of the Prime Minister and Council of Ministers to initiate diplomatic initiatives to regulate the border by following international standards despite the presence of COVID-19.


The traders demand that the Ministry of Foreign Affairs should talk to the Chinese Ambassador to Nepal and take the initiative to open the border. "A high-level diplomatic initiative has not taken place," said Karki.


It is not certain when China will open the closed borders. According to the Ministry of Industry, Commerce and Supplies, efforts are being made to open the border of China through Nepali Consul General Navaraj Dhakal in Lhasa.


Chief Customs Officer Dr Ram Prasad Mainali said that businessmen were in trouble as goods ordered for Dashain were stuck on the Chinese side of the border. "There is no information about when the border will be opened," he said, "It is not likely to open immediately." After the closure of the border, traders have started rerouting the goods they ordered last time through India.


Although there is no possibility of rerouting the containers of goods that came here from Lhasa, they have started to bring them by diverting the route. Chief Customs Officer of Tatopani Customs Office, Narad Gautam said that traders had diverted some trucks after the opening of the checkpoint was not certain. "Traders have diverted new orders since the opening of the border crossings is not certain," he said.


Nepal's second largest trade partner is China. Goods worth Rs 264 billion were imported from China in the fiscal year 2021/22. Before COVID-19, 200 to 250 trucks used to import goods from these two ports daily. For some time after the end of COVID-19, 25-30 vehicles were coming in every day. Now the import of goods is stopped.


Goods imported from Tatopani and Kerung arrive within 20-22 days. It takes about 40-42 days for the goods to reach Nepal in a container from Kolkata, India. Traders want to bring goods from these transit points as it takes half the time to import goods via Tatopani and Kerung. But the Chinese side has been blocking the border from time to time, citing various reasons.


 

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