'Opening of Nathu La trade route a great opportunity'

Gangtok, Jun 21: The resumption of Nathu La trade route is a small beginning but a great opportunity for economic development and people to people contact between India and China, Union Additional Commerce Secretary Christie Fernadez said.

The trade route is scheduled to be reopened on July six, 44 years after it was closed in the wake Indo-China conflict in 1962.

Mr Fernadez, who led a high-level six-member Indian delegation to Tibet Autonomous Region (TAR) on June 16 to assess the level of preparedness by the Chinese side and work out the detail modalities for conducting the trade, arrived here last night.

Mr Fernadez said initially the border trade would be confined to the border areas only and the products and commodities produced by the residents of neighbouring areas would be allowed to be traded free of duty.

A solemn ceremony would be organised at Nathu La on July 6 to mark the begining of border trade.

Sikkim Chief Minister Pawan Chamling, officials of the Centre and governments from Indian side and Governor TAR C Phuntsang, Vice Minister of Chinese central government Haopeng from Chinese side were scheduled to attend the opening ceremony.

Mr Fernadez said according to the MoU signed between the two countries only 29 products and commodities produced by the people residing in border areas had been identified for export and 15 for import without paying any duty.

When asked why no top dignitaries from the central government is coming to participate in the inaugural ceremony, he said the Centre wanted the state government to participate in the inaugural ceremony as it had played a significant role in development of infrastructure and in the proposed reopening of the trade route.

Giving the details about the modalities of trade, Mr Fernadez said the border trade would be confined to border areas and would be conducted for four months in a year beginning from June one to the end of September. The trade would be conducted for four days in a week beginning from Monday to Thursday from 0730 hours to 1500 hours as per the Indian Standard Time on all the identified working days.

At any given time sixty vehicles would be allowed to ply from each side-- two between Sherathang, the Indian trade mart and Renqinggang, the Chinese trade mart. However, depending upon the requirement the arrangement could be changed, he said.

Trade passes would be issued to the traders by the respective governments for the trade. For the Indian side the District Collector East would issue the trade passes and there would be only one pass for the trader and the vehicle, he said.

The commodities produced by residents of border areas would be allowed to be traded free of duty and it might include barter mechanism.

The currency of the trade would be in US Dollar, he said.

Comparing the infrastructure developed by both countries for the trade, Mr Fernadez said, ''The facilities provided by Indian side is superior to Chinese side.'' ''In the Indian side the road condition from Sherathang to the National Highway is superb but the road in Chinese side from Nathu La to Renqinggang, the Chinese trade mart is under construction,'' he said.

However, he said the Chinese side had assured to complete the road by the end of 2007, he said.

When asked whether road in Indian side could take the burden of trade, he said the Defence Department ''is looking into it'' and it would be upgraded as the volume of trade increased.

Mr Fernadez said the Indian Trade mart provides facilities like adequate sheds, internet connection, warehousing facilities,banking, police and electricity among others.

He said more facilities would be added as the trade picked up.

He said a master plan is being prepared by RITES for providing permanent trade mart facilities at Shwerathang.

The trade mart in Chinse side also provides similar essential facilities, he said.

Mr Fernadez said the people of TAR appeared to be pro-active, enthusiastic and supportive to start the trade immediately. He said the people and the mediapersons they met during their stay at TAR wanted for an open trade at Nathu La.

But according to the MoU signed between the two countries only 29 items for exports and 15 for import had been identified. The request for increasing the number of items was under the consideration of the government, he said.

Similarly, he said the Centre would consider a request to allow one hundred traders from each side to visit the trade marts in India and China.

UNI