Nepal Free To Use Chinese Ports

China has agreed to allow Nepal to utilise Chinese ports, putting an end to the landlocked country’s dependency on India for international trade.

On the first day of Prime Minister KP Oli’s official visit to China, Foreign Affairs Minister Kamal Thapa signed an agreement to this effect with his Chinese counterpart Wang Yi in Beijing on Monday. The deal was signed following a meeting between PM Oli and Chinese premier Li Keqiang.

Nepal also signed nine additional agreements with China at various levels. But PM Oli tweeted that the transit agreement was especially important for Nepal’s economic development.

Nepal has relied so far just on the Kolkata port in India for international trade. Last year when India imposed a blockade against Nepal to force Kathmandu to address Madhesi demands, the landlocked nation began exploring other transit routes to plan for future embargos.

The transit deal with China might not immediately help Nepal in importing essential commodities from across the Himalaya, but Nepali authorities believe that it is an important step towards reducing over-dependency on India.

Nepal is surrounded by India on three sides, and New Delhi has tried to use this advantage to put pressure on Kathmandu on three occasions since 1971. Nepal shares its northern border with China, but the Chinese mainland remains far away.

In the wake of the Indian blockade, Nepal has tried to increase road connectivity with China, hoping to lessen the impact of future Indian embargos. In the five months of the recent blockade, Nepal suffered a humanitarian crisis as people were deprived of fuel and cooking gas.

Amidst the blockade, Nepal decided to import one third of its fuel needs from China, and PM Oli was expected to sign an agreement to this effect during his China visit. But the fuel deal was struck off his agenda just a few days before he flew to Beijing. Many believe that Oli the fuel duel on ice because of Indian pressure, but he has said it is because of the lack of time for preparation.

The other agreements that Nepal signed with China include the exploration of petroleum reserves, free trade and the development of Pokhara International Airport. China has also agreed to build a bridge in the remote Hilsa village and donate 32,000 solar plants to Nepal.