Nepal has been spending Rs 560,000 per month from the national coffers due to the non-utilisation of land that Nepal has leased at the Kolkata and Haldia ports.

Nepal has been paying this amount monthly because the land leased under the Transit Treaty with India has not been properly managed. The issue has arisen largely due to the apathy of the Nepal Transit and Warehousing Company Limited, which manages a 4,850-square-foot warehouse at Kolkata port.

The government has been paying 56,000 Indian rupees per month for the Kolkata land, although the contract for this plot has now expired.

At Haldia port, a total of 8,985 square feet of land remains unused. Haldia port manager Him Nath Poudel said the land could have been used to store coal and other materials but has remained idle. He noted that although Shyam Prasad Mookerjee Port has proposed a land exchange, no decision has yet been taken.

Several vehicles are currently parked haphazardly on the Haldia plot. Branch manager Poudel said they have been paying a monthly rent of INR 300,000 for the land leased there.

Although coal destined for Nepal continues to arrive via Haldia port, the leased land - now used as an informal parking area - cannot be utilised for coal storage due to insufficient space. Meanwhile, nearby warehouses are being used to store coal and other construction materials such as gypsum.

Nepal’s Consul General in Kolkata, Jhakka Prasad Acharya, said both plots leased under the trade and transit agreement should be used commercially. He emphasised that if the land cannot be utilised, a workable solution must be identified, even if it requires amending the transit agreement.

Consul General Acharya suggested that the Ministry of Foreign Affairs should seek a practical resolution regarding the land obtained under the transit arrangement in Kolkata and Haldia.

“Since both plots lie within the port area, Nepal is not in a position to build large-scale infrastructure requiring significant investment. At the very least, management responsibilities should be assigned to someone capable of covering the rent,” he said.