Buoyed by success of some of India’s Special Economic Zones, Nepal has drawn up ambitious plans for SEZs and Industrial estates along Indo-Nepal border offering Indian industries opportunity to set up units there.

“Investing within SEZ has multiple benefits that include flexible and investment friendly labour laws,” Khadga Prasad Sharma Oli, Prime Minister of the Federal Democratic Republic of Nepal said at a business meeting organized by FICCI jointly with CII and ASSOCHAM.

India’s Special Economic Zones grew at an average 50 per cent annually for almost a decade and accounted for nearly one third of country’s exports at around $70-80 billion annually.

Small and Medium Enterprises formed sizeable percentage of units in SEZs. MSMEs in India accounted for nearly 45 per cent of country’s exports, which is expected to be around $260-270 billion this financial despite global slowdown. Indian exports have been over $300 billion in the previous years.

On his maiden trip to India after becoming Prime Minister, Oli said that Nepal provides sector-specific incentives of various kinds and scope. He added, “Non discrimination between Nepalese and Indian investors is our firm policy.”

He said that export and import rules and procedures have been made open and liberal. Trade facilitation measures have been improved. Nepal and India have exchanged four different letters to expand, simplify and streamline transit facilities during this visit.

“We must emphasize that commerce and connectivity between our two countries must not be affected by consideration other than economic development,” he said.

He said that Nepal’s doors are open for investment in almost every sector. These include manufacturing, hydropower, tourism, services, IT, mining and agro based industries.

“We invite the private sector domestic and foreign, to invest resources, produce goods and services and create jobs. My government will extend all needful support to facilitate your investments in Nepal,” he said.

Image Courtesy: Ibnlive