Rail Cargo Movement Between India And Nepal Gets A Big Boost
New Delhi, July 10 (TNA) Rail Transportation between India and Nepal got a major boost on Friday with the coming into force of authorization to all cargo train operators to utilize the Indian railway network to carry all containers bound for Nepal whether bilateral freight between Indian and Nepal or third country freight from Indian ports to Nepal.
This liberalization will allow market forces to come up in the rail freight segment in Nepal, and is likely to increase efficiency and cost- competitiveness, eventually benefiting the Nepalese consumer, an official said.
These cargo train operators include public and private container trains Operators, automobile freight train operators, special freight train operators or any other operator authorized by Indian Railways .
It comes into effect from July 9 after the formal exchange of Note Verbales and signed copies of Letter of Exchange between officials of India & Nepal.
After this LoE, all kinds of cargoes in all categories of wagons that can carry freight on Indian Railways network within India can also carry freight to and from Nepal. The move will reduce transportation costs for automobiles and certain other products whose carriage takes place in special wagons.
Wagons owned by Nepal Railway Company will also be authorized to carry Nepal-bound freight (inbound and outbound on Kolkata/Haldia to Biratnagar/Birganj routes) over the Indian Railways network as per IR standards and procedures.
The signing of this LoE marks another milestone in India’s efforts to enhance regional connectivity under the “Neighbourhood First” policy.