Senior officials from Nepal and China have agreed to speed up various developmental projects carried out by China, and enhance trade and infrastructure related projects across the Nepal-China border.

The understanding was reached during the third meeting of China-Nepal Coordination Mechanism on Border Trade and Cooperation held in Lhasa, Tibet on Wednesday. The meeting was co-chaired by Nepal’s industry commerce and supplies secretary Ram Prasad Ghimire and Zhao Peng, vice-chairman of the Xizang [Tibet] People's Government, according to a statement issued by the Consulate General of Nepal.

“The meeting reached broad agreements on enhancing bilateral trade, improving connectivity, and strengthening cross-border cooperation. Both sides agreed to move forward with discussions on key frameworks, such as the 1981 Trade and Payment Agreement, simplifying border passes, speeding up the construction of the Tokha-Chhahare Tunnel, setting quotas for fertiliser imports, extending China’s zero-tariff policy after Nepal’s graduation for the LDC status, and improving vehicle rerouting during disasters,” reads the statement.

To improve border operations, the two sides agreed to effectively carry out the Nepal-China Border Transport Agreement to boost bilateral trade by reducing time and cost of trade, said the statement, adding that both sides agreed to promote trade using a green channel for Nepali silage exports with risk-based inspections, along with better lab testing, data sharing, vehicle movement, and improvements in jute exports.

Both sides reaffirmed their commitment to border law enforcement for security, said the statement further.

The delegations also reached an understanding regarding the proposal for the Kimanthangka road-bridge Inland Clearance Depot (ICD), which “will be pursued through diplomatic channels.”

“Discussions also covered moving forward with the Jilong (Rasuwa) ICD, building a new Lizi (Mustang) ICD, speeding up the Hilsa-Simkot road, easing customs procedures at the Lizi port, and appreciating China’s support for the Rasuwagadhi-Syaphrubesi road.”

For investment and tourism, Nepal welcomed the idea of a sister-city link between Jilong and a rural municipality of Rasuwa district, and requested a formal proposal, reads the statement. Both sides agreed to task the Nepal-China’s Xizang Joint Tourism Coordination Committee (JTCC) to develop an action plan for a Jilong-Rasuwa Trans-border Tourism Zone and Nepali side proposed a joint high-level visit for the next phase of the Nepal-China Agricultural High-Tech Park..

In broader cooperation, both sides agreed to implement the concept of Authorized Economic Operator (AEO) certification, resume bus service between Kathmandu and Lhasa, improve quality and safety of goods through training, recognise each other’s medical qualifications, and strengthen ties in traditional medicine, said the statement.

Both sides have agreed to hold the fourth meeting in Kathmandu on a mutually convenient date.

The Nepali delegation included senior officials from the Consulate General of Nepal in Lhasa, Ministry of Industry, Commerce and Supplies, Ministry of Finance, and the Nepal Rastra Bank. The Chinese delegation included senior officials from the Department of Commerce, the Foreign Affairs Office, China Customs, and other Tibet government agencies.