"The meeting is expected to resolve various trade related issues and discuss enhancement of the bilateral trade between the two countries," the ministry said in a statement.
The two-day meeting will held under the aegis of the India-Nepal Inter Governmental Committee.
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The Indian delegation would be led by Commerce Secretary Rita Teaotia and while the Nepalese side would be led by her counterpart Naindra Prasad Upadhaya.
The meetings of the committee provide a platform for reviewing bilateral trade issues. The last meeting was held in December 2013 at Kathmandu.
The bilateral trade between the countries stood at $4.27 billion in 2015-16 as against $5.19 billion in the previous fiscal.