On the impact Goods and Services Tax (GST) to talk about the country’s concerns, from Nepal, a high-level delegation is coming to India as due to GST there is fear of rising prices of imported goods in Nepal.
From July 1st, GST has been implemented in India which is already impacted by the Nepal economy. For imports, Nepal is depending mainly on India. Also for exports, Indian ports like Kolkata being used by the neighbouring country.
From India after the implementation of GST, there is the rise in the price of imported goods and via India; goods imported from third countries will also become expensive. The Nepal imports goods from Kolkata port which is the third world countries have also imposed cargo-handling charges and extra service charges.
This week, there is a visit by the Nepal delegation and will meet the Indian Authorities and the issues will be solved soon, said by the commerce secretary Naiendra Uphadhyay.
Regarding waiver on taxes, written requests to the Indian government has been sent by the Nepal commerce ministry for the goods being imported to Nepal and items exported via India. On Nepal’s economy, to analyse the impact of GST, the finance and commerce ministries have made two teams.
On goods, India should not impose taxes and it is our main concern that goods we import via Indian ports as well as Nepal imports from India. by the provisions of the treaties, our demands are all trade and transit-related matters should be governed and Nepal has trade and transit treaties with India, not with changes in the tax regime,” said by the official.
As Nepal is a landlocked country, so a waiver should be given, as per Official.
In front of external affairs minister Sushma Swaraj, Nepal’s Deputy Prime Minister Krishan Bahadur Mahara raised concerns in his India visit and requested her to take action.
There is an impact on imports and exports of the country due to GST, said by the reports in the Nepalese media and regarding whether the tax has to be levied on export and import goods, now- clarity of Indian side.