Bangladesh has agreed in principle to offer Rohanpur in Chapainawabganj district as the rail port for the transit of goods to and from Nepal. The agreement came in response to a request from Nepal at trade talks that concluded in Kathmandu yesterday with a package deal on ways and means of enhancing bilateral trade.

Both sides agreed to take up the matters related to full-fledged operation of Kakarbhitta-Panitanki-Phulbari-Banglabandh corridor with the government of India in view of the existing difficulties faced in operation of transit to and from Bangladesh on this route through Indian territories.

“In this connection, both sides agreed to explore ways and means of an uninterrupted access of Nepalese cargo vehicles to and from the Banglabandh land port,” says a message from the Nepalese capital.

The two sides reviewed the agreement on the operating modalities of movement of cargo/vehicles, and it was agreed to finalise it in the near future. “Nepalese bilateral trade as well as the third-country trade of Nepal is hampered in the absence of this agreement.”

Discussion also took place on agreement on regulation of passenger traffic between Bangladesh and Nepal.

At the secretary-level meeting, the two sides agreed on various other trade issues, including exchange of information and further exploring investment opportunities for greater economic linkages between the two countries.

The commerce secretary-level bilateral consultation concluded at Singha Durbar in Kathmandu. Secretary of Commerce Ministry Feroz Ahmed led the Bangladesh delegation while Officiating Secretary of the Ministry of Industry, Commerce and Supplies of Nepal Purushottam Ojha the Nepalese side.

The meeting reviewed the existing bilateral volume of trade between the two countries and underscored the need for finding ways and means of expanding the bilateral trade to an expected level.

Both sides agreed to work together to exchange information on regular basis regarding the trade that is taking place between the two countries in both direction.

Regarding the Nepalese request for preferential tariff reduction and duty-free access for some agricultural and primary products such as lentils, tea, large cardamom, pulses, vegetables and fruits to Bangladesh market, the Bangladesh delegation said there was significant progress on these issues.

As there is no import duty now on rice and lentils the delegation urged Nepal to avail of the opportunity of exporting the products.

A wish list for preferential tariff reduction will also be forwarded to Nepal from Bangladesh “within the shortest possible time”.

Both the delegations agreed to form working groups to discuss the issues of preferential tariff reduction and prepare its modalities.

The Nepalese side took note of the problems regarding registration of Bangladeshi products and long-term renewable business visa for the businesspersons relating to exporting of pharmaceuticals products from Bangladesh to Nepal and would bring the issues to the notice of the authority concerned.

Bangladesh side took note of the Nepalese request to allow acrylic yarn and marbles to enter Bangladesh through land route.

They appraised the Nepalese side that Nepal could export marble to Bangladesh through Banglabandh, but this product is subject to pre-shipment inspection only.

Both sides emphasized the need for improved infrastructure facilities in the vicinity of airports and land ports on their respective sides to facilitate movement of perishable goods, particularly agricultural products, by air cargo and land ports.

The meeting agreed to encourage investors on both sides to further explore investment opportunities for greater economic linkages between the two countries.

Both sides agreed to organize single-country trade fairs and participate in the trade fairs organized in each other’s country.

It was agreed that the Trade and Export Promotion Centre of Nepal and the Export Promotion Bureau of Bangladesh would be instructed to work together in this regard.

The meeting agreed to encourage exchange of more visits and collaboration among the private-sector entities and chambers of the two countries.

Both sides agreed to make joint effort to promote tourism in both the countries. The Nepalese side took note of the Bangladesh proposal for reducing the peck-permit fees for the Bangladeshi mountaineers who are exploring the mountains in the Himalayan country.

A Nepalese proposal for the need for harmonization of sanitary and phytosanitary and technical barriers to trade measures for facilitation of bilateral trade and forming a joint committee to look into the issues of accreditation, harmonization and mutual recognition of the certification of quarantine, food safety, standards and other related measures came up for discussion.

It was agreed that the next secretary-level meeting would be held in Dhaka in 2008 at a date convenient to both sides.

The Bangladesh delegation paid a courtesy call on Minister for Finance Dr Ram Sharan Mahat and Minister for Home Affairs and Industries, Commerce and Supplies of Nepal Krishnas Prasad Situla on Sunday evening and apprised them of the outcome of the commerce secretary-level talks. They also exchanged views on other bilateral issues.

Bangladesh Ambassador to Nepal Imtiaz Ahmed was present during these meetings.