NEW DELHI: Nepal Friday declared that it would no longer depend on China to meet
Its security concerns as it signed a series of agreements with India on the most contentious issue of water resources development, separate trade and transit treaties and agreed to cooperate in curbing terrorism.
At a joint press conference, prime minister P V Narasimha Rao, said that the agreement of amassing water resources, which has been hanging fire for over a decade, M4 would “ “revolutionize” bilateral cooperation.
Echoing Rao’s sentiments, the visiting Nepalese prime minister, G P Koirala, said the agreements signed Friday evening would end “tension-filled relations” between the two neighbors who enjoy centuries-old ties.
Koirala, however, extended support to Pakistan’s proposal for a nuclear-weapons free South Asia, a subject on which Rao chose to maintain a studied silence.
Reminded that the Nepalese purchase of arms from China had emerged as a major irritant in the Indo-Nepalese relations, Koirala said “that kind of a thing will not be repeated in future”.
Asked about the deployment of Chinese engineers close to the Indian border, he said “let us bury the past. Let us start with a new vision and new dimensions to our relationship”.
Koirala said, Nepal was opposed to any kind of terrorism not only in India but the whole world.
Asked about the ethnic problem being faced by Bhutan from the people of Nepalese origin, he said his country would not interfere in any country’s internal affairs nor did it like any interference in its affairs.
He however emphasized that we are recommitted to human rights, our sympathies lie with the people of those countries where the human rights are violated.
Rao refused to be drawn into the problems facing Bhutan and said this was not a point of discussion with Koirala.
He, nevertheless, said that “we all have a common stake in democracy and human rights”.
Official sources said that while India accepted Nepal’s plea for separate treaties for trade and transit, Kathmandu for the first time in years agreed on harnessing water resources, a key area which has maximum potential for “revolutionalising” bilateral cooperation.
The two countries took a number of decisions concerning the Karnali, Pancheshwar and Saptakoshi Hydel and multi-purpose project, medium-sized projects such as the Burhi, Gandaki flood forecasting and flood protection schemes.
A new Indo-Nepal treaty of trade, valid for five years and renewable for the same period, was also entered into, envisaging additional tariff concessions provided in the trade treaty signed last June.
It also provides for several new facilities and concessions for Nepalese exports to India, including reduction of Nepalese Indian content requirement for duty and quota-free entry of Nepalese manufactured good to India from 65 to 55%.
An agreement was also reached in principle to include Nepalese labour content in the 55% requirement for duty or quota-free entry subject to a negative list of products which will be worked out.
The two countries also signed an Indo-Nepal treaty of transit with seven-year validity. Besides the provisions of the earlier treaty, this” includes simplifications in customs “and procedures to help Nepalese importers and exporters.
Article extracted from this publication >> December 13, 1991
