(a) whether the Government proposes to increase bilateral trade with Nepal; and
(b) if so, the details thereof during each of the last three years and the current year, item-wise?
(a) whether the Government proposes to increase bilateral trade with Nepal; and
(b) if so, the details thereof during each of the last three years and the current year, item-wise?
THE MINISTER OF STATE IN THE MINISTRY OF COMMERCE AND INDUSTRY(SHRI JAIRAM RAMESH)
(a) and (b) Under the existing India-Nepal Treaty of Trade, India, on a non-reciprocal
basis, gives duty-free market access to goods manufactured in Nepal. The Treaty also provides
for free trade between the two countries on mutually agreed primary goods. Both the countries
are presently engaged in discussion to make some changes in the Treaty as a measure to further
streamline the procedural aspects therein to facilitate smooth bilateral trade. Recently,
the India – Nepal Inter Governmental Committee (IGC) meeting at Commerce Secretary level was
held to discuss ways and means for stimulating growth of bilateral trade. The bilateral trade
between India and Nepal has shown buoyancy and can be seen from the following table:
The trade between India and Nepal during 2005-2006 to 2007-2008 in US million dollar
is given below:
(Table – I)
Year Export Import
2005-06 860 380
2006-07 928 306
2007-08 506 628
2008-09 589 196
(April-July)
Sl.No. Product name Value in US$ million
1. Petroleum (crude & products) 230.09
2. Primary & semi-finished iron & steel 63.53
3. Transport equipments 32.70
4. Machinery and instruments 29.17
5. Drugs, pharmaceuticals & fine chemicals 27.22
6. Spices 19.79
7 Plastic & linoleum products 18.04
8. Glass/glassware/ceramics/reftrs/cement 16.69
9. Other commodities 14.06
10. Paper/wood products 10.25
Sl.No. Product name Value in US$ million
1. Iron & steel 39.71
2. Other commodities 38.54
3. Man-made fmnt/spun yarn 26.49
4. Artificial resins,plastic materials, etc. 19.42
5. Non-ferrous metals 10.68
6. Other txt yarn, fabs,madeup artl 9.94
7 Spices 7.72
8. Chemical material & products 6.81
9. Tea 5.72
10. Made- up textile articles 4.71