China on 9
th Dec 2016 launched a new cargo service connecting Tibet and Nepal.
Trucks carrying goods worth 2.8 million dollars left the Tibetan border of Gyrirong en route to Kathmandu.
A train carrying several products also traversed a 5200 km distance between the capital of Guangdong Province, Guangzhou and Xigaze in Tibet was also an important feature.
New rail and road cargo services connect Guangdong, Tibet and Nepal. It was launched with the objective of enhancing trade with the South Asian neighbour.
This is in line with the
China and Belt and Silk Road Initiative.This marks the first time the consignment was sent to Nepal by China after the Prachanda government took charge from former PM KP Sharma Oli.
Transit deal was signed between Nepal and China in March 2016 during Oli’s tenure as Nepal PM.
Deal was signed for ending the hegemony in regard to Nepal’s dependance on trade
During the signing ceremony of the agreement, China agreed to Oli’s request of creating a strategic link between Tibet and Nepal.
Gyirong in Tibet is the last Tibetan country which shares a border with Nepal.
