Speaking to media persons in Kathmandu on Tuesday, chief executive officer (CEO) of Himalayan Terminals Pvt. Ltd. B Mohan said that he has submitted a formal letter in the end of June to the Nepal Intermode Transport Development Board, the country’s regulatory body under the Ministry of Supply. [break]
“The Birgunj dry port has shares 40 percent owned by of the Indian government, 20 percent by Trans World Group, an Indian private firm, and the remaining 40 percent by Nepal Transit & Werehousing Corporation and Interstate Multimodal Transport Pvt. Ltd., 20 percent each,” said Mohan. He further said his company has paid Rs 520 million in lease rent during its nine years of service after the port was set up in 2004.
He maintained that the dry port was the lifeline for business in Nepal and that business in Nepal has boomed due to the port. “We have managed to carry 90 containers on the train, which is 20 percent cheaper than by other road transport,” added Mohan.
“There was no clause in the agreement between the Nepal government and our company that could directly extend our contract by the next few years,” he said maintaining that he is expecting a direct extension of his company’s contract to look after the dry port. “As the dry port also has a share of Government of India, we have requested the Nepal government to renew our contract by 10 years directly through a cabinet decision,” he pleaded.
The contract will expire in 2014. “The Birgunj dry port has made the business between Nepal and India easier as the direct import of goods from Kolkata dry port to Birgunj has been possible at a cheaper cost,” said Mohan arguing that the company shall also pay a lease rent of Rs 85,000,000 in the current fiscal year. “A total of Rs 250 million of business turnovers is carried annually through the port,” said Mohan.
Executive Director of Nepal Intermode Transport Development Board Sharad Bikram Rana has clarified that the govemnent will go for biding process soon and will handover the management of the port to the company which offers highest bid. "The government will take the decision in right time," Rana added.
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