Stakeholders stress on unfettered regional trade

Kathmandu, Jan. 19

 In order to ensure food security in South Asia, the stakeholders have emphasised the need to ensure access to the market along with the increase in agricultural production.

At the first South Asian Agri Summit held in Kathmandu, policymakers and businessmen said that since non-customs barriers have started increasing in international trade recently, it needs to be reformed. Although there is an opportunity to expand trade between the countries of this region under the South Asian Free Trade Area (SAFTA), there are problems such as non-custom barriers in the export of agricultural products.

The two-day conference is jointly organized by Bharat Subcontinent Agri Foundation (BSAF), Tefla's and Federation of Nepalese Chamber of Commerce and Industry (FNCCI).

President of FNCCI, Shekhar Golchha said that the conference will help in the marketing of Nepali products.

He said that for the smooth export of goods with comparative advantage of Nepal, concessions should be increased within the country and easy access to the international market should be ensured.

Sri Lanka's Minister of Trade, Commerce and Food Security, Nalin Fernando, said that since 40 per cent of the farmers in this region are marginal peasants, initiatives should be taken to increase their production and ensure their market access.

He said that the export cost of the agricultural product is very expensive in the South Asian region and many countries here import agricultural products themselves. "Special efforts are needed to ensure food security in such a challenging situation. I believe that if South Asia makes a joint effort, it will help ensure food security and increase farmers' income," Minister Fernando said.

Executive Chairman and Chief Executive Officer of Dubai Multi Commodities Centre, Ahmed bin Sulayem said that South Asia can benefit from the markets in Dubai. He also said that businesses based on blockchain and other technologies can be used to expand the agricultural market.

Industry Secretary of Nepal, Dr. Toya Narayan Gyawali, said that the discussion during the conference will help in promoting export and investment. He said that investment promotion should be given more priority in such conferences and interactions. He said that increasing investment will help in export promotion and import substitution.

Dr. Gyawali emphasised that all countries should reduce the items on the sensitive list to benefit under SAFTA and they should remove non-tariff barriers.

He said that if South Asia can increase the use of technology and remove trade barriers, this region can become a global superpower in terms of agriculture. There are about 400 participants from 12 countries in the conference that discussed about the chick peas, oilseed, grain and intra-regional trade. The conference that will run till Friday, will also discuss about pulses, sugar, spices and dry fruits. 

Published in The Rising Nepal daily on 20 January 2023.