Nepal's hope to renew Nepal- India Trade Treaty by addressing issues such as non-tariff barriers failed to materialize, local newspaper The Kathmandu Post reported on Saturday.

Thus, the treaty, signed in 1996 and renewed in 2002, will be renewed for another five years without any amendment.

The talks on the renewal of the trade pact ended in Kathmandu on Friday, ten days prior to the treaty's expiry on Mar. 5.

According to Purushottam Ojha, joint secretary at Nepali Ministry of Industry, Commerce and Supplies, the Nepali side raised issues like non-tariff barriers, trade facilitation measures and dispute settlement mechanism. However, Nepal's concern is not reflected in the renewal of the pact.

"Both the delegations have agreed to revise and improve upon the treaty regime," Ojha said, "There is a provision in the treaty that allows both countries to revise and review it even after renewal. We are expecting that the treaty would be reviewed within a month of its renewal."

India is keen on signing a Comprehensive Economic Partnership Agreement with Nepal, said Rajeev Kher, the Indian delegation leader and commerce joint secretary, adding, "India is looking for a broader tie that will encompass areas beyond trade in goods and services."

India accounts for nearly 67 percent of Nepal's total volume of international trade.

Source: Xinhua