Prime Minister KP Sharma Oli has dropped a hint that  the unofficial trade embargo could prolong as the ongoing Tarai unrest has been “backed by India”.

During a meeting with officials of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI) at his offiicial residence in Baluwatar on Thursday, the prime minister asked the business community to brace up for the challenges ahead.

“It’s a political ploy. I don’t understand why India is unhappy with Nepal,” an FNCCI representative quoted Oli as saying. The PM’s statement clearly reflects that the trade embargo could extend and the private sector should be prepared accordingly, the federation official said requesting anonymity.    

However, Oli did not divulge details as to why India is considering extending the embargo. As every sector of the economy has faced disruption due to the prolonged Tarai unrest and trade blockade, a private sector delegation led by FNCCI President Pashupati Murarka met the PM to urge immediately solve the ongoing crisis. The private sector has been vehemently calling on the government to immediately resolve the crisis.

On Thursday, the PM however asked the private sector to submit a concrete plan to resolve the industrial and business crisis within a couple of days. “Accordingly, we have decided to prepare the plan to bail-out the country from this deepening crisis,” Murarka said.

Another FNCCI official, who attended the brief meeting at Baluwatar, said that PM Oli harshly criticised India and the agitating Madhes-based political parties. “As the protest has been backed by India, it is meaningless to hold talks with the agitating parties,” the official quoted Oli as saying.

The PM also expressed surprise at India’s statement on the 23rd Session of Universal Period Review in Geneva.

Addressing the review meeting on Wednesday, Deputy Prime Minister and Foreign Minister

Kamal Thapa informed the session that Nepal has incurred a loss of more than $5 billion due to the unofficial blockade enforced by India, leading to shortage of vital supplies including fuel and medicines.