Economy

India-Nepal signs Railway Service Agreement 2004

The Government of Nepal and the Government of India today signed a Letter of Exchange for the ‘India-Nepal Railway Service Agreement

10 July 2021 12:33 PM, ✍️ UPDATED: 5 months ago

10 July 2021 12:33 PM

The Government of Nepal and the Government of India today signed a Letter of Exchange for the ‘India-Nepal Railway Service Agreement 2004′. 

The agreement was signed between the governments of the two countries in a virtual program today.

On behalf of India, Sanjay Kumar Mohanty, Member, Department of Operations and Business Development, Ministry of Railways, India and Dinesh Bhattarai, Secretary, Ministry of Industry, Commerce and Supplies, led the delegation from Nepal.

With the signing of the ‘Letter of Exchange’, all authorized cargo train operators including public and private container operators will be able to come to Nepal.

 It is said that goods can be transported between India and Nepal in containers and the Indian railway network can be used to bring goods from third countries to Nepal from Indian ports.

Railway Service Agreement 2004

 This new provision will expand the reach of Nepal’s market power as well as make the transportation of goods more effective.

After the signing of this Memorandum of Understanding, all types of freight trains operating in the Indian railway network will transport goods between India and Nepal. 

According to the criteria and procedure, the Maldibba owned by the Nepal Railway Company will be able to carry goods coming to Nepal on the Indian railway network (Calcutta-Haldia to Biratnagar-Birgunj route).

The letter updated many other aspects of the Indo-Nepal Railway Service Agreement as well as new aspects related to the operation and infrastructure of Indian and Nepali Railways.

 The Indian embassy said the effort was aimed at expanding regional connectivity under the “neighborhood first” policy.







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