Historical Treaties and Agreements of Nepal India Relationship

The Treaty of Sugauli

Government of Nepal on May 28th, 1815 AD had Guru Gajaraj Mishra and Chandra Shekhar Upadhyaya as its envoys to Sugauli to have a negotiation about the treaty with Bradshaw, the representative of Company Government. But the negotiation failed when Nepal refused to have a dialogue about the treaty due to the difficult condition put forward by Bradshaw.

Nepal’s strongest objection had been on establishing the regiment because the English envoy had been regarded as the fore runner of the Empire. There had been interference from the British even at the time where there was no such envoy in the valley, Nepal had the doubt what the envoy would do when the envoy stayed in. The second objection had been about taking over the Terai region. The Company Government had the clear policy of taking over all the Terai region and making Nepal limited to the hills only.

But the Company Government forced Nepal to choose one: regiment or the war. The Company Government agreed to give two hundred thousand rupees per year in exchange of the Terai region. In such context, the negotiation for treaty started for the second time and the Treaty of Sugauli was concluded on 2nd December, 1815 AD.

The Treaty had to be approved by the king of Nepal within 15 days. The Company Government had already given its approval on December 9, 1815 AD but while the discussion was going on in the Nepal palace, the due date for its approval elapsed and a large troops under the commandership of Ochterlony advanced for the war with Nepal in February, 1816 AD. After a minor resistance in Makwanpur, the Ochterlony led troops advanced towards Kathmandu valley.

A letter had been already sent to the King warning that the British Army was coming to Kathmandu. In such situation, sensing the impending danger on the capital, Nepal approved the treaty and sent Chandra Shekhar Upadhyaya to Sugauli. After the approved letter of treaty was handed over to Ochterlony at 2:30 pm on 3rd March, 1816 AD, the war started on 1st November 1814 AD came to an end in March, 1816 AD.

The Articles stated in the treaty are as follows:

1. There shall be perpetual peace and friendship between the honorable East India Company and the king of Nepal.
2. The king of Nepal will renounce all claims to the lands which were the subject of discussion between the two States before the war; and will acknowledge the right of the Company to the sovereignty of those lands.
3. The king of Nepal will cede to the East India company in perpetuity all the under mentioned territories:

a. The whole of low lands between the rivers Kali and Rapti.
b. The whole of low lands between Rapti and Gandaki, (except Butwal)
c. The whole of low lands between Gandaki and Koshi in which the authority of the East India Company has been established or is going to be established.
d. The whole of low lands between the rivers Mechi and Teesta.
e. The whole of territories eastward of the Mechi River and the Nagarkot path going towards hills from Morang and the whole territories near that shall be evacuated by the Gorkha troops within forty days from the date of signing.

4. With a view to indemnify the chiefs and Bhardars of Nepal, whose interest will suffer by the alienation of the lands ceded by the foregoing Article (No. 3 above), the East India company agrees to settle pensions to the aggregate amount of two lakhs of rupees per annum on such chiefs as may be
decided by the king of Nepal.

5. The king of Nepal renounces for himself, his heirs, and successors, all claim to the countries lying to the West of the River Kali, and engaged never to have any concern with those countries or the inhabitants there of.

6. The king of Nepal engages never to molest or disturb the king of Sikkim in the possession of his territories. If any difference shall arise between Nepal and Sikkim, it shall be referred to the arbitration of the East India Company and Nepal Should follow its decision.

7. The king of Nepal hereby engages never to take or retain in his service any British subject, nor the subject of any European or American State, without the consent of the British Government.

8. In order to secure and improve the relations of amity and peace hereby established between Nepal and Britain, there shall be accredited Ministers in each other’s.

9. This treaty with 9 articles shall be ratified by the King of Nepal within 15 days from this date and delivered to Lt. Col. Bradshaw, he then will get it ratified by the Governor-General within 20 days, or sooner, if practicable.

The Treaty of Peace and Friendship of 1950 AD

The Treaty of Peace and Friendship was signed between Nepal and India on 31st July, 1950 AD (16th Shrawan, 2007). The treaty was signed by the Prime Minister of Nepal, Mohan Shamsher from Nepali side and by the the Ambassador of India to Nepal, CPN Singh from the Indian side. The treaty contains the following conditions:

1. There shall be everlasting peace and friendship between the Government of India and the Government of Nepal. The two Nepal Parichaya/363 Governments agree mutually to acknowledge and respect the complete sovereignty, territorial integrity and independence of each other.

2. The two Governments hereby undertake to inform each other of any serious friction or  is understanding with any neighboring State likely to cause any breach in the friendly relations subsisting between the two Governments.

3. In order to establish and maintain the relations referred to in Article 1, the two Governments agree to continue diplomatic relations with each other by means of representatives with such staff as is necessary for the due performance of their functions. The representatives and such of their staff as may be agreed upon shall enjoy such diplomatic privileges and immunities as are customarily granted by international law on a reciprocal basis: Provided that in no case shall these be less than those granted to persons of a similar status of any other State having diplomatic relations with either Government.

4. The two Governments agree to appoint Consuls General, Consuls, Vice Consuls and other consular agents, who shall reside in towns, ports and other places in each other’s territory as may be agreed to. Consuls General, Consuls, Vice Consuls and consular agents shall be provided with exequaturs or other valid authorization of their appointment. Such exequatur or authorization is liable to be withdrawn by the country which issued it, if considered necessary. The reasons for the withdrawal shall be indicated wherever possible. The persons mentioned above shall enjoy on a reciprocal basis all the rights, privileges, exemptions and immunities that are accorded to persons of corresponding
status of any other State.

5. The Government of Nepal shall be free to import, from or through the territory of India, arms, ammunition or warlike material and equipment necessary for the security of Nepal. The procedure for giving effect to this arrangement shall be 364/Nepal Parichaya worked out by the two Governments acting in consultation.

6. Each Government undertakes, in token of the neighborly friendship between India and Nepal, to give to the nationals of the other, in its territory, national treatment with regard to participation in industrial and economic development of such territory and to the grant of concessions and contracts
relating to such development.

7. The Governments of India and Nepal agree to grant, on reciprocal basis, to the nationals of one country in the territories of the other the same privileges in the matter of residence, ownership of property, participation in trade and commerce, movement and other privileges of a similar nature.

8. So far as matters dealt with herein are concerned, this Treaty cancels all previous Treaties, agreements, and engagements entered into on behalf of India between the British Government and the Government of Nepal.

9. This Treaty shall come into force from the date of signature by both Governments.

10. This Treaty shall remain in force until it is terminated by either party by giving one year’s notice.

This treaty is seen to have been signed on 16th Shrawan 2007 BS (31st July, 1950).

Three types of treaties were done by signing in Treaty of Trade, Treaty of Transit and Agreement of Co-operation to control Unauthorized Trade in Chait, 2034 BS. According the treaty, it was agreed to grant privilege to the goods produced in Nepal in Indian market and to make necessary arrangement to make available to each other the essential goods.

Regarding the transit, Nepal would get transit facilities on the goods transported to and from the third countries through India and the validity periods for the Agreement on the Control of Illegal Trade and the Treaty of Transit were declared 5 years and 7 years respectively. Following this, the Treaty of Trade and the Agreement on the Control of Illegal Trade between Nepal and India were extended for five years in 2039 BS. It is found to have been agreed in the treaty for providing facilities such as insurance, Performa and custom as well as transshipment facilities to increase in the trade flow between Nepal and India.

Nepal-India Eminent Persons’ Group (EPG) has been formed in January, 2016 AD to make timely amendment in the treaties and agreements made between Nepal and India. The group has been mandated to study and discuss the Treaty of Peace and Friendship of 1950 AD, the Treaty of Trade, the Treaty of Transition and various treaties and agreements on water resources and to give suggestions to both the countries. The team comprises Dr. Bhesh Bahadur Thapa, the coordinator and the memebers: Nilambar Acharya, Surya Nath Upadhyaya and Dr. Rajan Bhattari from Nepali side and Bhagat Singh Kosiyari, the coordinator and the members: Dr BC Upreti, Mahendra P. Lama and Jayanta Prasad from Indian side.

Source: Government of Nepal Ministry of Communication and Information Technology Department of Information and Broadcasting

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