Top diplomats of China and Nepal met here and discussed plans to open more border points for transit trade, a permanent arrangement for petroleum supplies from China and transit treaty to enable Nepal to access Chinese ports for travel and trade to reduce dependence on India.
"China has all along believed that countries irrespective of their size are equal. China and Nepal have always treated each other sincerely and as equals. We hope that the same policy and practices will also be adopted by India," Chinese Foreign Minister Wang Yi said at a press conference with his Nepalese counterpart Kamal Thapa.
Wang made the remarks while answering a question on India-China competition over Nepal.
"China, India and Nepal are close neighbours connected by the same mountains and rivers. This makes three of us a natural community of shared interest. This is why China has proposed the development of a China-India-Nepal Economic Corridor. It is all about common development and prosperity. Ultimate goal is to form community of shared future of the three of us," he said.
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On India-Nepal relations, Thapa said "immediately after the promulgation of the constitution there has been some misunderstanding between Nepal and India. Because of the India imposed unofficial obstruction on transit and supply of fuel and other essential commodities," he said referring to the transport blockade that Nepal alleged had been imposed by India but which has been strongly refuted by New Delhi.
"That caused a severe impact on the Nepalese society. It also had a negative impact on our economic growth. But I am very happy to say at this point of time that things are moving and improving," said Thapa who is also Deputy Prime Minister.
"Nepal has two big neighbours, China and India. We are very proud of that. Both countries are prospering. They are doing fantastic work on the economic development. That has always remained an inspiration to us," he said.
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During their talks, both the foreign ministers announced a series of measures to increase connectivity between their two countries including a transit treaty to overcome the blockade due to the Madhesi agitation over the new Nepalese constitution that led to severe fuel shortages in Nepal.
He thanked China for supplying 1,000 MT of petroleum products at the height of the Madhesi agitation.
Thapa said Nepal's new government is looking to diversify the procurement of petroleum products and urged China to open more trade routes along its Tibetan border.
Currently one border point has been opened and they are working to open few others. Significantly, both Wang and Thapa spoke of talks on a transit treaty for Nepal to reduce its dependence on India.
He also announced free visa facility for Chinese tourists saying that over 120,000 tourists visited Nepal before the devastating earthquake in April.
For its part, China removed travel warning to Nepal clamped after the quake, declaring it as safe for travel.
Thapa also assured that Nepal will continue to crackdown on Tibetans crossing from Tibet to Dharmasala to meet Tibetan spiritual leader the Dalai Lama.
"We have consistently followed the one-China policy. I would like to reiterate once again that Nepal will not allow any activities that infringe on China's sensitivities on Tibet," he said.
The Indian media at the event was not given an opportunity to ask questions.
"Similarly with China we have so many common areas socially, culturally also we are bound together. The peace harmony, compassion, philosophy propounded by Lord Buddha has alway remained as a cementing factor in our relations.
"For Nepal there is no need to play each other. We have our own type of relations with India. Similarly we have special relations with China. So we are very happy with that and will continue in future with strengthening relations with both the countries. That is the density that we have to live with," Thapa said.
China also expressed its strong desire to see a peaceful, stable and prosperous Nepal, Chinese Foreign Minister Wang Yi told his visiting Nepal counterpart Kamal Thapa in Beijing.
"China would continue assisting Nepal in her development endeavours," Wang said during a bilateral meeting, according to a press release by Nepal's Foreign Ministry.
Thapa is currently in Beijing on a five-day official visit to seek assistance from its northern neighbour at a time then the Himalayan nation is facing acute fuel shortage due to blockade on the Nepal-India border for months.
The entire gamut of bilateral relations and cooperation between Nepal and China were covered during the bilateral talks held between the two foreign ministers.
"The Chinese side has conveyed the invitation to the Prime Minister of Nepal to visit China at an early date. There will be a high-level visit from China to Nepal as well next year," it said.
"Expressing happiness over the development of bilateral relations and cooperation over the last 60 years, the two sides agreed to expand and consolidate bilateral cooperation focusing mainly on trade, transit, investment, energy, tourism and infrastructure development," the press release said.
The Chinese side informed that it would soon take up agreed projects for post-disaster reconstruction as per its pledged assistance during the International Conference on Nepal's Reconstruction.
Thapa thanked the Chinese government for extending generous support to Nepal's socioeconomic development. He also appreciated the spontaneous and prompt support received from China in the aftermath of the April 25 earthquake.
During the visit, Nepal's Finance Secretary Lok Darshan Regmi and Chinese Vice Minister of Commerce Zhang Xiangchen signed the Agreement on Economic and Technical Cooperation under which China would give 900 million yuan as grant assistance for repair and maintenance of Araniko Highway and other projects of interconnection and interlinking.