Nepal seeks waiver on GST
Nepal’s Ministry of Commerce has written to the Indian government urging for a waiver of GST on Nepal-bound goods. This follows a slowdown in exports and imports of goods to and from third countries via India due to confusion created by implementation of GST. The pace of imports and exports had slowed down few days before implementation of the new tax regime, and has not picked up since, it was pointed out. This has been attributed to Indian Customs offices still upgrading their IT systems, delaying movement of goods. As Nepal relies mostly on Kolkata Port to import and export third-country goods, delays at Indian Customs affect the country’s trade. Cargo handling costs have gone up since the implementation of GST. The authority at Kolkata Port earlier used to impose 15 per cent logistics service charge on goods imported from third countries, but post-gst the charge has increased to 18 per cent.