NEW DELHI, March 30. /TASS/. Russia may become a significant partner for Nepal in addressing the country’s energy and food security problems, Russian Charge d’Affaires in Kathmandu Rinchen Rakshaev told TASS.
"Russia could be an ideal partner for Nepal in terms of addressing the most pressing issues on the current agenda, namely energy, and food security. The local public is very concerned about fuel and fertilizer supplies. Given Kathmandu’s desire to maintain a balanced economic diplomacy, Russia can certainly expect to find its niche," he said.
According to the diplomat, overall, trade and economic relations between Russia and Nepal have significant potential. "Russian entrepreneurs somewhat underestimate the advantages of the Nepali market. First, labor here is objectively inexpensive, while in my opinion it also learns quickly. Second, Nepal’s liberal trade regime with India not only provides convenient access to the Indian market, but also allows imports of raw materials from India, for example leather," he noted.
"Many Russian companies that scaled back operations in other countries due to high production costs for clothing, footwear, leather goods and other products could consider Nepal as an alternative. Finally, Nepal is among the relatively small number of economies that benefit from zero import duties within the EAEU," Rakshaev added, emphasizing that "Russia and Nepal have broad opportunities for cooperation for both large and medium-sized businesses."
Responding to a question about the country’s hydropower potential and the possibility of Russia participating in its development, the diplomat said that "it is too early to talk about specific large-scale hydropower projects at this stage." "RusHydro Group is ready to support the friendly state by providing a full range of engineering services within the framework of developing Nepal’s water and energy infrastructure, including the design of new facilities, reconstruction and modernization of existing plants. The Nepalese are aware of this readiness, and dialogue on this issue is ongoing," he noted.
"In addition, our partners are also aware that Russian specialists with unique experience, going beyond hydropower industry projects, can generally assist in developing a comprehensive plan for the integrated use of Nepal’s water resources, ensuring water supply, water treatment and wastewater management, taking into account natural challenges faced by the Himalayan republic," the diplomat said.