KATHMANDU, August 22: A new agreement between India and China to reopen border trade through the Lipulekh Pass has triggered rare unity in Nepal’s Parliament, where lawmakers from both the ruling coalition and opposition parties strongly objected to the move, calling it a violation of Nepal’s sovereignty.
During Thursday’s session of the House of Representatives, lawmakers across party lines accused New Delhi and Beijing of bypassing Nepal in a decision involving territory Kathmandu claims as its own.
Gagan Thapa, General Secretary of the opposition Nepali Congress, said the deal was unacceptable. “Our two neighbours made an agreement regarding our land, in our absence. The Nepali Congress expresses its serious disagreement. This is objectionable, unacceptable,” he said.
The agreement, signed earlier this week during talks between Indian External Affairs Minister S. Jaishankar and Chinese Foreign Minister Wang Yi, covers three traditional trading points: Lipulekh Pass, Shipki La, and Nathu La. Nepal insists that Lipulekh, along with Kalapani and Limpiyadhura, falls within its western frontier as defined by the Sugauli Treaty of 1816.
Mahesh Bartaula, Chief Whip of the ruling CPN-UML, echoed the opposition’s concern, warning that Nepal’s sovereignty was at stake. “A country can be small or big in geography and economy, but not in self-respect and independence. If there is an activity that affects our freedom, we will oppose it,” he said.
The CPN-Maoist Centre also joined in, with Chief Whip Hitraj Pandey stating that the deal “hurts Nepal” and was made without consultation. “We oppose this agreement, which involves land clearly mentioned in our constitution,” he added.
India’s Response
India has rejected Nepal’s objection, with the Ministry of External Affairs (MEA) insisting that Lipulekh has been a recognized trade route with China since 1954. MEA spokesperson Randhir Jaiswal said trade was disrupted in recent years due to the pandemic but is now being restored.
“As regards territorial claims, our position remains that such claims are neither justified nor based on historical facts and evidence. Any unilateral enlargement of claims is untenable,” Jaiswal said, adding that India remains open to dialogue with Nepal on outstanding boundary issues.
Historical Context
The dispute hinges on different interpretations of the Sugauli Treaty, which defined Nepal’s western boundary along the Kali River. India argues that the river originates at Kalapani, placing Lipulekh within Indian territory. Nepal claims the river begins further north at Limpiyadhura, making the disputed area part of Nepal.
Tensions escalated in recent years after India inaugurated a road link to Lipulekh in 2020, and again in 2023 when China released a map showing Lipulekh, Kalapani, and Limpiyadhura as part of India.
What’s Next
The timing of the agreement is sensitive. Prime Minister KP Sharma Oli is scheduled to travel to China on August 31 for the Shanghai Cooperation Organisation summit before making an official visit to India on September 16. Lawmakers have urged Oli to raise the border issue with both governments during his trips.
Nepal’s Foreign Ministry has already issued a statement asserting its territorial claim and protesting the India-China decision, warning that any unilateral action without Nepal’s involvement undermines its sovereignty.