China has provided Nepal with financial and technical assistance for infrastructure building, establishment of industries, human resource development, health, and sports since the establishment of diplomatic relations in 1955.
China is a major trade partner of Nepal. Economic cooperation between the two countries has increased many folds after the establishment of diplomatic ties. However, despite the rise in volume of trade, Nepal is facing a severe deficit with its northern friend.
The total export earnings from China declined to NRP 746 million in 2010/11 from NRP 1 billion in 2009/10. Likewise, the import of products from China has also increased to NRP. 45.63 billion during the last fiscal year from NRs. 39.21 billion the previous fiscal year.
So, the recently concluded 13th China- Nepal fair was organized with the expectation to improve the bilateral trade between the two nations.
The trade fair, which was organized by the Ministry of Commerce and Supplies (MoCS), is held in a gap of every two years, according to the bilateral agreement signed with the Tibet Autonomous Region of China. The fair, held from 2 to 6, November 2011, aimed at promoting the bilateral trade relations and economic ties between the two nations.
The five-day expo showcased scores of Nepalese and Chinese products in the various stalls of Nepal and China. The Chinese stalls featured Tibetan carpets, incense sticks, brewery products and medicinal products. Likewise, the Nepali stalls showcased products like wooden craft, metal craft, handicraft products, carpets, herbals, women-made goods and shoes—to name a few.
Ramesh Shrestha, executive director of Trade and Export Promotion Center (TEPC), said the five-day event were expected to record transactions worth NRP 50 million at the start of the fair. “The fair is expected to attract Chinese investment besides boosting transactions,” added Shrestha.
The fair was expected to be visited by around 200,000 people.