India preparing to hand over partially built railway project to Nepal

India is preparing to hand over the partially completed Bathnaha-Biratnagar-Katahari railway project to Nepal.

The work of opening a 1.8 kilometer railway track in Katahari area in Nepal is on hold due to the compensation dispute. Likewise, laying the link in the 8 km area is also incomplete. Similarly, construction of a yard in Katahari has also yet to finish.

In 2010, Nepal and India had signed an agreement to connect bordering districts of the two neighbors by building railway points in five locations during ex-President Ram Baran Yadav's visit to India.

Subsequently a year later, 2011 saw the beginning of construction of the Bathnaha-Biratnagar-Katahari railway with Indian government's assistance.

The railway project's deadline was set for December 2019.

However, the local landowners in an area of ​​about 3 kilometers along the Katahari route snubbed the compensation based on the valuation of the land determined by the government and demanded a more suitable amount based on current market rates. Resultantly, the railway construction work in that area has not progressed.

Landowners also filed a case in the Supreme Court against the government-set compensation, however, the case is yet to be heard.

Chief District Officer (CDO) of Morang Kashiraj Dahal said that since some landowners filed a case in court demanding proper compensation, the work could not proceed in the ​​5.6 km area out of total 13 km from the Indian customs to Katahari on the Nepal side.

But apart from that, CDO Dahal said that construction of the railway line has been moving ahead without hindrances in other places.

He said since a case is in under consideration at the Supreme Court, the administration had no alternative but to wait. "If the apex court gives verdict on the case soon then the local administration could address the issues by taking concrete decisions," said CDO Dahal.

According to him, problems are rising as the apex court hearing on the compensation is getting postponed.

However, according to reports, the Indian government has initiated the process to hand over the under-construction railway to Nepal government.

Indian government's contractor company Ircon International, or Indian Railway Construction Limited said Rs 2.13 billion rupees has already been spent to expand the railway to Nepal. It added that Rs 4.48 billion was spent to build the railway link from Bathnaha in India to Biratnagar's Bhediari.

Three years have passed since Ircon International built a 150-meter-wide and 1,500-meter-long railway station in Budhanagar village on Nepal-India border.

Beside this, the project has not made further headway on the Nepali side.

The contractor firm entrusted with erecting the Katahari station has fled by abandoning the project.

Indian construction company New Bagmati Construction had bagged the Indian Rs 270 million contract to build a railway station at Katahari.

Shiv Kumar Mandal, the site in-charge of Bagmati Construction, which was awarded the contract for the railway line from Bathnaha in India to Bhediari in Nepal, said the company went out of contact after accepting the contract at a "low rate" and was unable to carry out quality work.

The building of the Katahari station was halted due to the contractor's departure. The construction business had just started the basic process of erecting the railway station.

Following the contractor's departure, Indian Ircon International has issued a fresh tender for building Katahari station.

Deepak Kumar, the Indian side's construction manager, stated that the contractor selection process is underway. He stated that Katahari station would be built as planned once a contractor is selected.

Two years ago, a test run was conducted for the first time from Bathnaha in India to customs yard at Budhanagar in Biratnagar-18. The cargo train had arrived at Budhanagar's customs yard carrying national flags of both Nepal and India.

The arrival of a train in Biratnagar on November 4, 2018, was a hot topic then. However, after after, there has been no progress regarding the railway.

The Government of Nepal had acquired 119 bighas land on the Nepali side for Bathnaha-Biratnagar-Katahari railway and handed it over to the Government of India.

Out of the 565 landowners who land was acquired, 26 refused to accept compensation, claiming they were paid less than the current market price.

The landowner who refused to accept compensation moved the court for proper compensation. Of the 119 bighas necessary for railway track, about 21 bighas belong to disgruntled residents who refused to accept compensation.

The Indian side has stated that forwarding construction was troublesome owing to a lack of site clearance.

Indian Ircon International has built a rail link to Nepal barely 5 kilometers north of Bhediari. Similarly, construction of the custom yard at Bhediari is also yet to complete.

A freight train arrived at Budhanagar customs yard in Biratnagar 18 for the first time. Importing commodities from third countries is likely to be easier after the railway connects Biratnagar and Katahari.

Businessmen are confidence that the cost of transportation and investment shall reduce once goods can be brought to Kathari directly from Kolkata.

The distance between Bathnaha, India, and Budhanagar, Biratnagar, is 8 kilometers, of which 5 kilometers lies towards India and 3 towards Nepal.

Nepal and India have agreed to start freight train service firstly, followed by the passenger train. The Nepal government intends to extend the railway all the way up to Itahari and connect it to the East-West Highway.

The Indian government has already brought into operation Integrated Check Post (ICP) in Biratnagar after completing its construction.

According to businessmen, because the railway from Bathnaha to Katahari is being built following the ICP model, over 600 companies in Morang and Sunsari will be able to import raw materials and export goods from the railway tracks.

The estimated cost of Bathnaha-Biratnagar-Katahari railway stood at Rs 10 billion rupees in 2011.