After holding consultations with business people, Nepal had formally agreed the Indian proposal of introducing additional lock system for containers passing through Vishakhapatnam port, which boasts of modern infrastructure and fast clearance service, during the Inter-Governmental Sub-Committee (IGSC) meeting held recently in New Delhi. [break]
“Despite our protest, India is unilaterally enforcing additional one-lock for containers passing through Kolkata, where clearance service and infrastructure is poor. If it materializes, Nepali importers will need to pay huge demurrage charge and face unnecessary hassles,” said a source at the Ministry of Commerce and Supplies (MoCS).
Unfortunately, officials concerned have yet to initiate any step to request India to stop implementation of one-lock system.
According to traders, they will have to go through at least 33 steps to complete clearance process in Kolkata port. Clearance process at Vishakhapatnam port, however, is far shorter than Kolkata.
Nepali officials have been opposing the proposal of the southern neighbor to introduce additional lock system in Kolkata port.
“There is no reason why we should accept additional lock in import of goods through Kolkata port where Nepali traders are already facing different hassles,” the source added.
Administrative hassles, congestion and low draft berth for mother ship are the major obstacles being faced by Nepali traders while clearing goods from Kolkata port.
“As Kolkata port can’t accommodate large ships, Nepali consignments are offloaded from mother shop at Visakhapatnam and taken to Kolkata in small ships,” the source added.
Nepal had been making extensive efforts to start third country trade via the Visakhapatnam port for the past few years. Nepal had secured right to use Visakhapatnam port last year. An understanding to this effect was signed during India visit of then prime minister Madhav Kumar Nepal in August 2009. The formal agreement was signed during the India’s commerce minister visit to Kathmandu two months later.
Nepali businessmen have been pushing for trade via Vishakhapatnam port as it supports direct operation of larger vessels, enabling Nepal to reap multiple business benefits from third country trade.
Visakhapatnam is one of the fastest growing ports in India and is located at a distance of about 1,300 km from Birgunj dry port.
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