An Analysis of Nepal’s Transit through India
Taneja, Nisha; Bimal, Samridhi; Dayal, Isha | March 2016
Abstract
Nepal, a landlocked country, relies on transit access from neighbouring countries to participate in international trade. For Nepal, the nearest sea-port is that of Kolkata in India and the transit arrangements between the two countries are governed by two main legal instruments: India-Nepal Treaty of Trade and Transit and the India-Nepal Rail Services Agreement. However, there are a large number of inadequacies in the prevailing India-Nepal transit treaty encompassing issues with regard to documentation requirements, transhipment procedures, sensitive items, arbitrary bank guarantees, and poor infrastructure The study undertakes a detailed review of the transit treaties and the existing procedures with a view to identifying documentation and procedural impediments, infrastructure constraints and other non-physical barriers. In particular the current transhipment modality has been examined and bottlenecks related to the procedure have been identified. The relevance of WTO Trade Facilitation Agreement (TFA) has also been discussed in the context of Nepal’s transit. Recommendations for improving transit by road and rail have been made to streamline India-Nepal transit and revise the prevailing treaties as per international standards.
Citation
Taneja, Nisha; Bimal, Samridhi; Dayal, Isha. 2016. An Analysis of Nepal’s Transit through India. © Indian Council for Research on International Economic Relations. http://hdl.handle.net/11540/9109.Keywords
Transport
Transportation
Trade
Trade Facilitation
Trade Potential
Trade Development
Trade Agreements
Regional Trade Integration
Regional Trade
Finance And Trade
Demand For Transport
Road & Highway Transport
Road Transportation Systems
Transport Infrastructure
Transport time
Economic integration
Energy
Import volume
Export volume
Access to markets
Economic agreements
Trade financing
Regional integration
Vehicle
Land transport
Transport economics
Railways
Infrastructure
Railroads
Roads
Trade routes
Markets
Economic goods
Economic conditions
New agricultural enterprises
Consumer goods
Road transportation
Trucking
Railroads
Roads
Trade routes
Trade flow
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