Trade expert Posh Raj Pandey said Nepali traders would have to face additional hassles in the coming days, as the additional lock system, which allows Indian authorities to unlock the shipment and check goods at any place, will delay the shipment of goods and pose additional hassles.[break]
“Under additional lock system, Indian authorities can unlock the carriers wherever they want. There won´t be specific time and places for checking goods,” Pandey said, adding, “Such provisions are against the norm of trade facilitation between the two countries."
The government is mulling over introducing additional lock system in Visakhapatnam after some businesspeople pressed the government to open Visakhapatnam port for Nepali trade as an alternative to Kolkata port.
Senior economist Dr Bishamber Pyakurel echoed Pandey and said termed the proposed introduction of additional lock system as an ´unnecessary provision´.
"Introducing the provision of additional lock system might lead to damage of goods. It also violates the norm of international trade facilitation by making trade more complex," Pyakurel told Republica.
“Before introducing the additional lock system, safety of goods in carriers during security check by the Indian authority should be guaranteed.”
He also cautioned on the possibility of under-table deal between traders and security personnel, possibility of damage of goods and unnecessary delay in delivering goods if the additional lock system is agreed.
“If we agreed to introduce additional lock system on transport of goods through Visakhapatnam port, India will introduce it to Kolkata port sooner or later.”
Surendra Bir Malakar, president of Nepal Chamber of Commerce, said the proposed system would be more complicated for businesspeople if the government failed to seek additional privileges from India - the largest trade partner of Nepal.
“We have been pressing the government to use Visakhapatnam port as an alternative to Kolkata port, where Nepali traders are facing hassles due to weak infrastructure,” Malakar said, adding, “Even if India introduces additional lock system, we want it to show more flexibility.”
He said the system would create further complexities in trade if Nepal failed to convince India for additional privileges during negotiations.
Officials of Ministry of Commerce and Supplies, however, defended the provision of additional lock system, saying that it was being proposed to seek India´s favor in letting Nepal use Visakhapatnam port.
“We have to address the security issues being raised by the Indian side. We need to make some compromises to get benefits from Visakhapatnam port, which is far better that Kolkata port in terms of infrastructures and facilities,” the official added.
Related story
Revised interest rate corridor system introduced
