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It’s been 12 years since Nepal and the United States signed the Trade and Investment Framework Agreement (TIFA) in 2011. TIFA is a trade deal that aims to establish a framework for expanding trade and resolving outstanding disputes between the US and other signatories of the agreement. For over a decade, several discussions have taken place between Nepal and the US to materialize the framework agreement. However, the two sides are yet to develop protocols with provisions on concrete steps that need to be taken to enhance trade and investment relations. “There have been discussions for preparing protocols of the framework agreement by taking concrete actions and formulating procedures in the last few meetings of the TIFA Council,” said a former joint secretary of the Ministry of Industry, Commerce and Supplies (MoICS). “However, no progress has been achieved in this regard so far.” The TIFA Council is a bilateral mechanism formed according to the TIFA framework agreement comprising representatives of each signatory. Nepal and the US held the sixth TIFA Council meeting on May 19 in Kathmandu. A senior MoICS official said that the issue of developing protocols didn’t emerge as a big issue during the meeting. “Signing the protocol of the TIFA is an important step in materializing the framework agreement,” he said. According to the former MoICS official, either party of the trade deal can initiate the process by drafting the protocol document and sharing it with each other. “Nepal itself can draft a protocol and share it with the US which will invite discussions on the matter in the upcoming meetings,” the former official said. The MoICS official also affirmed the suggestion saying that the draft of the protocols for TIFA could be prepared this way. During the latest TIFA Council meeting, Nepal shared its concern about the underutilization of the Nepal Trade Preference Program (NTPP), a duty-free regime for certain types of readymade garments (RMGs) and other exports of Nepal to the US market. According to the joint statement issued after the meeting, Nepal also expressed its interest in expanding the list of products eligible to receive tariff-free treatment under the program. The program which was endorsed by the US Congress and signed by then US President Barack Obama in 2016, is expiring on 31 Dec 2025. “Both governments affirmed the importance of the NTPP to the bilateral relationship and acknowledged the potential of the program to enhance trade between the two countries,” reads the joint statement. Nepal has not been able to take benefit from the US program as Nepali garment exporters say that most of the 77 goods on which duty-free access is available are not produced in Nepal. “There is no duty-free access to the US market for types of RMGs that we produce such as shirts, pants, and ladies' dresses which are also known as fast-moving garment items,” Pashupati Dev Pandey, President of Garment Association of Nepal told Annapurna Express in a recent interview. During the meeting, both countries discussed ways to increase dialogue on bilateral agricultural trade issues. “The United States also suggested that Nepal join the Agriculture Innovation Mission (AIM) for Climate, a program that increases investment in agricultural innovation for climate-smart agriculture and food systems,” the joint statement says. Government officials and experts say that TIFA protocols could help facilitate the timely implementation of trade and investment promotion-related measures taken by each side. During the sixth meeting of the TIFA Council, Nepal provided an update on recent efforts and initiatives taken to improve its trade and investment climate and reinforced its desire to attract additional foreign investment from the US. The council has been authorized to determine opportunities for expanding trade and investment, consider specific trade and investment matters of interest to the parties, consider capacity building, consider trade facilitation measures, identity and work to remove barriers impending trade and investments, and seek the advice of stakeholders on matters to the council’s works. “The protocols will provide specific procedures to address issues identified by the council,” the former MoICS official said.

The price of gold has dropped by Rs 800 per tola in the domestic market on Wednesday. According to the Federation of Nepal Gold and Silver Dealers’ Association, the yellow metal is being traded at Rs 111, 000 per tola today. It was traded at Rs 111, 800 per tola on Tuesday. Meanwhile, tejabi gold is being traded at Rs 110, 450 per tola. It was traded at Rs 111, 250. Similarly, the silver is being traded at Rs 1,430 per tola today.

Sunil KC, Vice President of Nepal-India Chamber of Commerce & Industry (NICCI), has been appointed as the advisor to Independent Power Producers’ Association Nepal (IPPAN). The 21st annual general meeting of IPPAN held on June 15, 2023 elected a new executive committee under the leadership of Ganesh Karki and the first executive committee meeting held on June 16, 2023 appointed KC as the adviser to IPPAN, reads a statement issued by the NICCI. KC is the Founder of Asian Institute of Diplomacy and International Affairs (AIDIA), a think tank based in Kathmandu which has been doing advocacy in the field of diplomacy for the past one decade. KC has been contributing his expertise in the area of economic diplomacy of Nepal as well as in the area of Nepal-India trade, transit and energy cooperation, Nepal-India trade as well as Nepal-India-Bangladesh trilateral trade engagement and power trade since year 2015 and has also been putting his views through the articles frequently published in the national and international publications and online media as well. The appointment of KC as the advisor to IPPAN would contribute to bringing FDI from India in the field of hydropower and energy development. Since KC has been engaged and facilitating power trade between Nepal and India as well as trilateral power trade between Nepal-India-Bangladesh, his expertise would surely be helpful to bring FDI from India and will contribute execution of power trade between Nepal and India as well as Nepal-India-Bangladesh trilateral power trade in the days ahead, the statement reads. NICCI also congratulated the newly elected executive committee of IPPAN under the leadership of Ganesh Karki and the entire team for the successful tenure ahead.

The Nepal Stock Exchange (NEPSE) plunged by 26. 56 points to close at 2,064.83 points on Tuesday. Similarly, the sensitive index dropped by 4. 25 points to close at 388. 14 points. A total of 10,792,742-unit shares of 268 companies were traded for Rs 4. 11 billion. Meanwhile, City Hotel Limited was the top gainer today with its price surging by 10. 00 percent. Likewise, Unique Nepal Laghubitta Bittiya Sanstha Limited was the top loser with its price dropped by 9. 99 percent. At the end of the day, the total market capitalization stood at Rs 3. 02 trillion.