TIFA Council Meeting

Nepal, US agree to diversify list of preferential products

Published On: April 20, 2017 11:00 PM NPT By: Republica  | @RepublicaNepal

KATHMANDU, April 20: The 3rd US-Nepal Trade and Investment Framework Agreement (TIFA) Council Meeting concluded in Kathmandu on Thursday, deciding to diversify the list of preferential products to enhance Nepal's exports, and promote investment, among others. 

The meeting also focused on ways to increase trade surplus and find ways for better utilization of the preferential access facility for Nepali products in the US market, according to Secretary at the Ministry of Commerce Ngaindra Prasad Upadhyaya.

The US has been providing duty free access to 66 Nepali products after signing an agreement in 2011.

The objective of the agreement is to expand trade, investment and technical cooperation, and to strengthen economic relation between Nepal and the US. Such facility to Nepal is provided through the Trade Preferences Act (TPA).

 The meeting also deliberated on ways to simplify procedures for implementing the duty free access for Nepali products in the US market as well as improve production and export of those 66 products. 

Nepal has not been able to cash in on the facility provided by the US because of various trade barriers and low production capacity.

Nepal-US trade was worth $123 million in 2015.

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