Kathmandu, October 31

A senior leader of the ruling CPN-UML today said the government was planning to seal yet another deal with China in order to facilitate trade with third countries via China.

CPN-UML Secretary Pradip Gyawali said preparations were under way to sign a Trade and Transit Treaty with China so that Nepal may use sea-ports of China for trade with third countries.

“We are preparing to sign a Trade and Transit Treaty with China,” Gyawali said at the Reporters Club. He also made it clear that it was not a card played against the southern neighbor. “A trade and transit treaty with China has become our compulsion and we want to equally develop our relations with India and China,” he added.

Nepal has so far been using Indian sea-ports for imports and exports. Following the adoption of the new Constitution on September 20, Indian authorities have imposed restrictions on the entry of cargo trucks via major border checkpoints, especially Raxual-Birgunj, a foreign ministry official told The Himalayan Times.

The official, however, refused to delve into preparations being made to seal the deal with China.

Meanwhile, Nepali Congress leader Chandra Bhandari said India took a pro-Madhesi position after promulgation of the new constitution.

“India has to review how much it gains by backing a few Madhesi leaders?” Bhandari questioned, adding that the southern neighbour should not establish temporary relations by breaking permanent ones.