Strengthening Nepal-India Cooperation, Modi’s Visits created a strong positive vibe in Nepal-India bilateral relationship. Modi’s fifth visit was not only furthering to strengthen political, economic and cultural relations, but his first after the 2014 assumption of office was a second foreign country visit to Nepal after Bhutan. It had sent a message of new impetus and dimension to our entente cordiale. Modi’s speech in the Federal Parliament had deeply touched the Nepalese hearts. Positive sentiments had erased all earlier misunderstandings. However, the euphoria of magnetic oratory skill evaporated once it placed the blockade in the immediate promulgation of the Constitution of Nepal 2015 whereby Madheshis, people of Indian origin staged sit-in protests in Nepal-India border towns and custom checkpoints blocking economic transactions. The Indian Premier’s first visit was productive and successful setting a maiden sanguine tone to keep firm the intact our bilateral relations.
The fifth one is starting from Lumbini where Asian Development Bank financed International Airport upgraded by the Chinese Company where Modi is not landing on the special importance to Buddhist pilgrimage site on the occasion of Buddha Jayanti (Birthdate). There are heresies of copycat Buddhist shrines and places on the other side of the fence in Nepal to undermine the importance of Buddha’s connection in Nepal. These are unfounded and Lumbini Development Trust has many tasks to do beforehand when to extirpate such allegations or non-evidenced judgment filling the mundane talks. Modi’s Nepal visit from the birthplace of the enlightened one itself symbolizes the gem of learning, knowledge and wisdom. It is a deeper nexus not only bilateral relation but also transcends nation-state defining at the spiritual level and our life in this part of the world. As the politics of hierarchy undergoes so does the peaceful contemplation of mind and life gets currency over the caste and class divisions, intolerance, anger and hatred.
After a series of agreements, memoranda of understanding and joint statements, the onus of political will and commitment by India and Nepal must lie with the bureaucracy of both the countries so that they take prompt action, implement and enforce past resolutions. If the points or objectives of bilateral understanding can be realized to reap good dividends for our people, it is to explore lucrative options to optimize the strength and audacity of new synergistic momentum that begins after the local polls’ vote counting which would declare the political equation in Nepal.
One can pertinently start with persistence and transition in bilateral relations by outspokenly invoking a new plane of thinking in modernizing bonhomie to the needs of the 21st century. The paradigm shift in the political landscape of India has stepped two steps ahead in Indian foreign policy. The priorities of Modi are in the Indian neighborhood with intense leadership roles around the world. The prime concern of India is to engage neighbors to keep at bay Indian vulnerabilities in security and detachment. It is all about extensive dealings with neighboring countries to address political, economic and security interests. Thus, mistrusts and suspicion would not be the right attitude when larger mutual interests including economic prosperity are at our doorsteps. To pursue this economic agenda both the countries have to simultaneously resolve obstacles in bilateral relations. Highways, infrastructure and transways were iterations of Modi then some tangible works such as railways, human development infrastructure and connectivity, albeit slow in the inauguration, have set the course of action. It must deeply tie both Nepal and India up for which infrastructure and connectivity are sine qua non. To tap the upbeat mood of Modi’s visit to Nepal then which had taken place after 17 years then now there seems no excitement nor down beaten mood.
The power trade agreement and power development agreement must be implemented and enforced was signed during Sher Bahadur Deuba’s visit in April 2022. There is a huge potential for high-value organic agriculture, Hindu and Buddhist circuit, education and health care pointing towards forthright transformation to face the challenges with eagerness and readiness. Promising these initiatives shows instant attention but they peter out as time wears out. So many initiatives are to be undertaken after Modi’s visit approaching with comprehensive and substantive projects to deliver within decades with dynamism. This is the right opportunity to catch the spirit in bilateral relations. We have to hasten the pace of moving positively forward in bilateral relations.
It remarked that the foreign policy of Nepal in the increasingly connective world is to find a convergence of both the countries. The role of government and non-governmental organizations stands for not a competition but complementary. Our mutually beneficial cooperation is based on mutual trust and understanding. The first Modi visit by the Indian Head of Government after 17 years had departed from conventional rhetoric. This current visit by Modi on Buddha Jayanti is categorical of a high official of major trading partner, a major source of FDI in Nepal in health, technology and education that underlines India’s economic activity that will have spillover effects for Nepal in security, border towns, water resources, power generation and trade. Our multidimensional bilateral relations manifest with a changed attitude of new leadership to woo the hearts and minds of the Nepalese people and thus it is better we review the entire gamut of bilateral relations including activating Pancheshwor Detailed Project Review, 1950 treaty revising, or accepting Eminent Person Group’s Report and India has asked the pending issues to be resolved with the Government of Nepal. We need to have new thrusts and speedy homework expediting the dynamism in bilateral relations.
On Nepal-India Cooperation on Trade, Transit and Investment started with the historical perspectives on the evolution of Nepalese trade from 1922 to 2022. The origin of transit rights was under limitations with India a maiden one in 1923, they have addressed transit issues under trade treaty as a composite in 1950 and beyond 1978. Taking a cue from industrial statistics showing the total number of Foreign Direct Investment projects in Nepal is belonging to India. For our kind information, Indian investment comprises 566 industries (21%) with a total investment of 75,800 million rupees (35%) and employs 61632 people (34% of total FDI Projects).
To curb illicit trade activities, an Agreement of Cooperation to Control Unauthorized Trade 1978 had been signed. Drawing our attention to SAFTA provisions on LDCs becoming more beneficial and relevant compared to the bilateral treaty, again in the regional economic cooperation has been a loss in bilateral economic cooperation. Laying bare contemporary general issues on trade such as transit port efficiency, delay and congestion and lack of competition for services, documentary and procedural hassles, lack of fuller utilization of Nepalese inter-country depot/dry ports, outdated border crossing infrastructures and archaic procedures, these trading and border affairs need management well. On contemporary issues of investment, there is an erosion of domestic investment climate caused by political uncertainty and policy stability or its absorptive capacity, lack of workforce (skilled, semi-skilled and unskilled) to work in the agriculture and manufacturing sector. Nepal-India Trade Agreement 2009 is a departure from trade and tariff barriers but there is a weak implementation, leave alone experiencing enforcement.
Connectivity between Nepal and India notes some facts that India is the largest trading partner, Nepal’s share of Indian tourists is the largest, it has an open border, a Diaspora of 450 million spread in India just across Nepali borders and the mobility of people across is high. The share of India in Nepal’s total trade is 66.8% and the share of Indian tourists in total tourists in Nepal is 22.9% to be further noted. The importance of connectivity which makes the movement across the borders easier, faster and cheaper, reduces the cost of regional trade, enhances the competitiveness of regional production networks and promotes economies of scale and greater competition. There are many projects to be undertaken with the help of India in repair, maintenance and building of the East-West Highway in Nepal, Phase II 845 km of postal road and integrated check posts, railway linkages such as Jayanagar-Bardibas, Jogbani-Biratnagar, Nautanwa-Bhairahawa, Rupaidiha-Nepalgunj, and New Jalpaiguri-Kakarbhitta.
Laying out the prospects of connectivity by completing identified roads and railway network, Buddhist circuit development, Hindu heritage and spiritual tourism, ecological tourism, joint initiatives at both government and private sector on bilateral tour circuits and twining of cities program between two countries. These are bilateral affairs. Some regional affairs to bring closeness and detachment is the part and parcel of our statecraft. The state of affairs in Afghanistan, Bangladesh, Bhutan, the Maldives, Pakistan and Sri Lanka and South Asia at large create some level of understanding for regional concerns. And beyond South Asian regionalism, Nepal and India have become the stakeholder of BIMSTEC getting attention to an alternative to conventional regional arrangements to connect Look East to Act East.
Nepal’s India relations are special as Indian policymakers exhort, and it is so because of the geopolitics, geo-economics, geo-cultural and geo-strategic premium Nepal has. Nepal is blessed to be a pivot of India and China, and additionally, extra-regional power politics converge and diverge in the playground of the Himalayas. Keeping national interest uppermost primacy is the only way to contain geopolitical rivalry not only on the virgin land but also challenging in sky spaces. A common interest is to ensure and secure sovereignty vested in the people of Nepal, an eternal ideal to translate into reality so that enabling the state and emboldening liberty, justice and truth in national identity is surety to safe voyage in unforeseen turbulences in international relations.
