KATHAMNDU, Nov 7: Nepal is desperately awaiting the reopening of the Tatopani trade route for the inflow of supplies. The route is important for Nepal not only for imports in general but also for essential supplies even as the country feels an approaching humanitarian crisis.
The Indian blockade continuing now for over one and a half months has crippled daily life, particularly due to the scarcity of fuel and vital supplies including medicines.
Nepali government officials including those involved in the Nepal-China Boarder Customs held a meeting with a Chinese delegation in Kathmandu, Thursday. But experts that Republica talked to separately said that they are not confident about trade resumption via the Tatopani point anytime soon. Chinese officials have been pointing out that the Zhangmu Customs Office at Khasa bazaar and all other local offices of the Chinese government have suffered severe damage in the earthquake and they need to rebuild the infrastructures before reopening.
"China's priority is for the Rasuwagadhi-Kerung trade route as this is not only a part of the silk road but also a route that will link up with Sigatse by railroad by 2020," said Tanka Karki, Nepal's former ambassador to China. China has its eyes on the Indian market and Rasuwagadhi is the shorter route for connecting with India via Chitwan. Railway connection will also largely reduce the trade cost through Kerung.
Government of China has made huge investments in infrastructure in Kurung but since this came into full operation in November last year the trade volume has been low. This route has accounted for only 8 percent of customs revenue for the two commercial trade routes combined.
A press note issued after the Thursday meeting says, "China will give high priority on reopening the trade point as soon as possible as the point saw its infrastructure damaged by the April earthquake." During the meeting, Nepal urged immediate reopening of the Tatopani point as this is the largest trade point between Nepal and China.
Former ambassador Karki stressed the need for high-level diplomatic initiatives to bring about resumption of the trade point and for highlighting the importance of immediate supplies for Nepal.
Talking to Republica, Dibya Raj Pokhrel, chief customs officer at Tatopani, said that they are ready on the Nepali side to resume business. Nepal's customs office at Tatopani has shifted about a kilometer from its previous location and all offices concerned with security, immigration and quarantines are ready for business. The road track also has already opened but trade at the commercial level is yet to start. A large number of containers have been awaiting customs clearance at Khasa since April.
"Pending the rebuilding of infrastructure at Khasa bazaar, we have approached the Chinese officials for running their customs offices from Nyalam and Sigaste and sending sealed containers to be unloaded at Larcha," said Pokhrel, adding that the trade point is most important from the point of view of infrastructure on the Nepal side and the urgency for Nepal at this time of crisis.
Infrastructure from Tatopani to Kathmandu is far better compared with the Kathmandu- Rasuwagadhi-Kerung route.
Coordinator of the Nepali delegation at the meeting and Deputy Director General of Department of Customs Damodar Regmi said that the Tatopani trade point has assumed particular importance at this time. "We have urged the Chinese about reopening the route at the earliest and custom officials in both countries will establish direct communications for reopening trade," added Regmi. Tatopani is an all-weather route but Kerung remains shut during the months when there is snowfall.
China has already relocated all the residents of Khasa bazaar to Sigatse but has not started any work on rebuilding the quake damage. Considering the importance of Kerung, the Ministry of Physical Infrastructure and Transport has already started doing its homework for developing a four-lane highway from Syaphrubeshi to Betrabeti that will help clear existing trade bottlenecks.
Karki also said that Nepal should now focus immediately on building infrastructure for the Kerung route and that trade points like Korala in Mustang should be taken as the next trade points to be developed between the two countries.
Published on: MY Republica (November 7, 2015)
