Memorandum of the 9th Meeting of Nepal-China Non-Governmental

The 9th Meeting of Nepal-China Non-Governmental Cooperation Forum was held on June 12-13, 2007 in Kathmandu, Nepal. Mr. Chandi Raj Dhakal, President of Federation of Nepalese Chambers of Commerce and Industry (FNCCI) and Co-Chairman of the Nepal-China Non-Governmental Cooperation Forum was the leader from the Nepalese side and Mr. Zhang Longzhi, Vice Chairman of the All-China Federation of Industry and Commerce (ACFIC) was the leader of the Chinese delegation.

The program started off with a welcome address by FNCCI President and Co-Chairman of Nepal-China Non-Governmental Cooperation Forum Mr. Chandi Raj Dhakal, followed by the remarks by Mr. Khush Narayan Shrestha, Charge d' affaires, Nepalese Embassy in the People's Republic of China. Then H.E. Mr. Zheng Xianglin, Ambassador of the People's Republic of China to Nepal, H.E. Mr. Zhang Longzhi, Vice Chairman of All China Federation of Industry and Commerce and leader of the ACFIC Delegation made their remarks respectively.

Chief Guest Hon'ble Minister of Finance Dr. Ram Sharan Mahat made the inaugural address, which was followed by the Vote of Thanks from Mr. Kush Kumar Joshi, Second Vice President of FNCCI and Coordinator of the Nepal-China Non-Governmental Cooperation Forum.

Following the inaugural session, a business session was organized. In the business session speakers from China and Nepal made their presentations on different topics.

The first presentation was made by Mr. Purushottam Ojha, Officiating Secretary of the Ministry of Industry, Commerce and Supplies / Nepal on "Investment Promotion Policy with Special Reference to Special Economic Zone in Panchkhal". The main points of his presentation were:

• Policy and laws for investment promotion in Nepal.
• SEZ Policy and Declaration
• Objectives of establishing SEZ and it's benefits
• Special regulatory and legal provisions applicable to SEZ

The second paper was from the Chinese side, Ms. Zhi Luying, desk officer for Nepal of Ministry of Foreign Affairs of P.R. China. Her presentation was on "China-Nepal Friendship over the Himalayans". The main points of her presentation are:

• Nepal-China historical relations and cooperation
• Mutual understanding and cooperation between Nepal and China
• Chinese government's commitment to a foreign policy of building friendship and partnership with its neighbors

Mr. Subhash Nirola, Officiating Chief Executive Officer of Nepal Tourism Board made a presentation on "Tourism Promotion in China". Mr. Nirola, in his presentation highlighted the following:

• The policies on tourism promotion
• Main attractions for Chinese tourists and promotional efforts
• Competitive and comparative advantage in the tourism industry

Mr. Leela Mani Paudel, Nepalese Consul General for Lhasa put his perspective on "Nepal-China Trade and Investment". In his perspective he emphasized on the following:

• Promotion of handicraft business in Lhasa
• Possibility of expanding trade with Tibet Autonomous Region of China

Ms. Yan Yixu, Deputy Director of Development Research Center, the State Council of China on "Economic Relationship between Nepal and China" stressed on the following:

• Continuity of the Sino-Nepal economic relationship
• Exploration of new areas for investment opportunities

Mr. Shanti Ram Sharma, Under Secretary, Ministry of Industry, Commerce and Supplies made a presentation on "Foreign Direct Investment Policies of Nepal and Investment Promotion". The highlights of his presentation are:

• Importance and scope of Chinese Investment in Nepal
• Nepal's FDI scenario
• Facilities and incentives to industries coming under FDI
• Present Government initiatives to boost FDI

Mr. Zhao Xifeng, Chairman of Jiuzhai Travel Group Co. Ltd. spoke on "Jiuzhai - Dream International Amusement and Shopping Mall". He highlighted on the following:

• Similarity on socio-cultural and geographical aspects between Tibet and Nepal
• Possibility of market of Nepalese handicrafts in Jiuzhai
• Prospect of tourism development and joint cooperation in Mini Nepal Pavilion

Mr. Liu Jianli, Chairman of Beijing JiSiLi Investment Management Co. Ltd. emphasized on :

• the prospects of developing featured tourism
• importance of strengthening infrastructure

In the Forum Meeting, one-to-one business meetings on (a) tourism (b) agriculture (c) construction and (d) pharmaceutical / herbal sectors were held to look into the possibility of mutual cooperation and investment opportunities.

Besides that the 9th meeting of the Forum agreed to adopt the following:

1. Both sides expressed satisfaction over the activities of the Forum. The Chinese side expressed their appreciation and gratefulness to the FNCCI and the Government of Nepal for the warm hospitality and excellent arrangements of the meeting.
2. Nepal and China both sides agreed to expand cooperation to promote bilateral trade, tourism and investment.
3. Both sides agreed to enhance cooperation, by providing good opportunities, especially in the sectors such as industry, tourism, hydropower, herbal/medicine, agriculture, construction, infrastructure, communication and commercial line, niche products namely handicrafts, herbal products etc. to accelerate the bilateral trade to new heights.
4. It was agreed that the Tenth Forum Meeting will be held in China. Both sides agreed to take a more practical and flexible approach with full preparation to organizing the next Forum Meeting. The time, venue and theme for the next Forum meeting shall be finalized through mutual consultation between FNCCI and ACFIC.
5. The FNCCI and ACFIC agreed to promote the "Mini Nepal Pavilion" in Jiuzhaigou.
6. This memorandum is signed on 13th of June 2007 in FNCCI Secretariat, Kathmandu, Nepal with documents done in both Chinese and English and two copies of each language. Both parties respectively keep a Chinese copy and an English one.