Nepal Prime Minister Pushpa Kamal Dahal Prachanda's September visit to China may result in a power trading agreement along the lines of the Himalayan country's cross-border power trading agreement with India, indicating a balancing act by the former Maoist leader.
According to Kathmandu-based sources, Nepal wants to build a cross-border transmission line with China via the border district of Rasuwa, which is expected to be signed during Prachanda's visit. According to one of the sources cited above, Nepal also wants to learn the best agricultural practices from China while also cooperating with India in the same sector.
Prachanda announced a new power trading agreement with China while speaking at a public function in Nepal's Chitwan on Saturday. "We have had very positive discussions with China and Bangladesh about power trading agreements." We will soon sign separate agreements with the two countries. According to the Kathmandu Post, "there is an agreement to export power to Bangladesh via India, and we plan to sign the agreement in Kathmandu at a special function."
Prachanda, who visited India in June, also said, "I am soon sending a team to India to discuss how we can cooperate in the agriculture sector. We have also agreed to set up a chemical fertiliser industry in Nepal with India's support."