India, Nepal ink deal to boost trade through rail connectivity

New Delhi, Nov 13 (PTI) India and Nepal on Thursday inked a deal to establish a direct rail connectivity along the Jogbani-Biratnagar rail link for containerised and bulk cargo, facilitating transport from the ports of Kolkata and Visakhapatnam to the Nepal Customs Yard cargo station located in Morang District, near Biratnagar.

Both countries exchanged Letter of Exchange (LoE) amending the protocol to the Treaty of Transit between India and Nepal in this regard.

"This signing will facilitate the movement of rail-based freight between Jogbani (India) and Biratnagar (Nepal), including bulk cargo under an expanded definition," the commerce ministry said.

This liberalisation extends to key transit corridors -- Kolkata-Jogbani, Kolkata-“Nautanwa (Sunauli), and Visakhapatnam-“Nautanwa (Sunauli), thereby strengthening multi-modal trade connectivity between the two countries and Nepal's trade with third countries, it said.

The LoE exchange happened here during a bilateral meeting between Commerce and Industry Minister Piyush Goyal and Nepal's Minister for Industry, Commerce and Supplies Anil Kumar Sinha.

The commerce ministry added that India remains Nepal's largest trade and investment partner, accounting for a significant share of its external trade.

"These new measures are expected to further consolidate economic and commercial linkages between the two countries and beyond," it said. PTI RR TRB