Various issues pertaining to the development of Land Customs Stations have been taken up with the Central Agencies concerned with banking, telecommunication, and border roads organisation etc.

An Inter-Ministerial Committee under the Chairmanship of the Commerce Secretary is coordinating the steps taken by various Ministries and Agencies for the development of trade in the North East including Border Trade along the Indo-Myanmar and Indo-Bangladesh borders. Development of export infrastructure in four border towns namely Moreh, Sutarkandi, Dawki and Zokhawthar have been given priority. The Central Warehousing Corporation (CWC), the appointed agency for development of export infrastructure at Moreh, Dawki and Sutarkandi, has conducted a study of the infrastructure facilities required at Moreh (Manipur), Dawki (Meghalaya) and Sutarkandi (Assam) for improvement of their infrastructure under the erstwhile Critical Infrastructure Balance Scheme (CIBS). The Infrastructure at Zokhawthar is being developed by the Border Roads Organisation (BRO) in cooperation with the Government of Mizoram.

Infrastructure projects undertaken in the N.E Region with assistance from ASIDE Scheme

Some of the major infrastructure projects undertaken with assistance from ASIDE Scheme are as under:

• An amount of Rs. 4.22 crore has been released to the Border Roads Organization for construction of a composite Land Customs Station building at Zokhawthar. The project is under implementation and has achieved 41.12 per cent physical progress and 36.5 per cent financial progress up to April 2006. Border trade through this Land Customs Station has not been operationalised due to lack of infrastructure on the Myanmar side.
• The Land Customs Station at Agartala is one of the prioritized areas for development in the North Eastern Region. A sum of Rs. 1.82 crore has been released to the Government of Tripura for integrated infrastructure development and improvement of road.
• An amount of Rs. 13.40 crore was sanctioned by the Empowered Committee on Assistance to States for Infrastructure Development and Allied Activities (ASIDE) Scheme for setting up Trade-cum-Exhibition Centre at Guwahati. India Trade Promotion Organisation (ITPO) is executing the project on the land provided by Government Of Assam. The work is in progress and is expected to be completed shortly.
• Project for establishment of a Trade Centre at Sutarkhandi, Assam, was approved under CIB scheme during 1999-2000 against the total cost of Rs. 8.16 crore. Contribution from CIB was Rs. 6.53 crore. The project is under implementation.

Exhibition Complex at Guwahati

Border Trade with China through Nathula

The development of infrastructure at the Trade Mart at Sherathang has been undertaken by the Government of Sikkim with financial assistance from the Department of Commerce, after resumption of border trade with China through Nathula. The Government of India has provided a total amount of Rs. 18.88 crore to the Government of Sikkim for the development of infrastructure at Nathula during the year 2006-07, out of which Department of Commerce has provided Rs. 2.16 crore. Similarly, Ministry of Home Affairs and DONER have also provided Rs. 7.74 crore and Rs. 9.08 crore respectively for the development of infrastructure at Nathula. Besides, a study on various aspects relating to border trade through Nathula has been carried out by NCAER and the same is also under examination for appropriate action.

Opening of China-India Border Trade through Nathula Pass

APEDA's activities in the North Eastern Region

The major fruits/vegetables grown in the north eastern region are citrus, banana, pineapple, papaya, passion fruit, jackfruit, ginger, turmeric, chillies & potatoes.

With a view to boosting the export of fresh and processed horticulture products from the north eastern region, the Agricultural and Processed Food Products Export Development Authority (APEDA) has provided the Inland Transport Assistance Scheme to bring down the heavy expenditure on transportation involved in transport of goods. The Scheme has been extended for the X Five Year Plan upto 31st March, 2007. Based on the persistent demand from the various north eastern State Governments, the scheme for export of horticulture products in the north eastern region has been liberalized. Inland transport assistance would now be available in respect of identified products to all the north eastern States. The rates of inland transport assistance are given below: 90 per cent of the air freight charged by the airline from any airport in the north eastern States to Bagdogra or Guwahati or Kolkata for exports. In case of highly perishable commodities, 50 per cent of the air freight charged by the airline from any airport in the north eastern States to Delhi or Mumbai Airport for exports.

• Rs. 1 per kg or actual freight paid, whichever is less, if the goods are transported from anywhere in the north eastern States by road for exports through any notified Land Customs Station in the north eastern States or through Guwahati airport.
• Rs. 2 per kg or actual freight paid, whichever is less, if the goods are transported from north eastern States to Kolkata or any other port by rail through ICD, Guwahati for exports.
• Rs. 2 per kg or actual freight paid, whichever is less, if the goods are transported from north eastern States by rail through ICD, Guwahati to any place in West Bengal for processing and export.

Besides, common pack house facility is being set up by Assam Industrial Development Corporation for processing handling of fresh ginger for exports. Setting up of post harvest handling cum auction center for fruits & vegetables in Mizoram is being considered. Walk-in-type cold stores are being set up at Imphal, Aizwal and Dimapur and a center for perishable cargo at Guwahati airport.

The following proposals for funding through Export Development Fund have been approved:

• Passion fruit in Mizoram and Nagaland.
• Ginger in Manipur and Nagaland.
• Mushroom Processing in Manipur and Nagaland.
• Turmeric processing in Nagaland.
• Vanilla Processing in Manipur.
• Safed Musli in Assam.
• Bee keeping in Mizoram.
• Setting up a lab for testing products for exports, in Assam.
• Cluster development of farms for organic farming is under preparation for Nagaland and Tripura.

When these units/labs come into production/operation, the export is expected to increase and inland transport scheme would be effectively utilised.

Other activities undertaken in the North East Region

The State Trading Corporation (STC) has set up a Branch Office at Kolkata which is engaged in international and domestic trading from West Bengal and other North Eastern states of the country. The various activities undertaken are:

• Imports of Vanaspati from Nepal to cater to the requirements of states of Assam, Meghalaya, Mizoram and rest of India.
• Import of Hydrocarbons for power plants generating power mainly for Eastern and Northern Eastern States.
• Trade in Raw Jute and Tea.
• Supply of Pulses and Tea to Defence. Supplying of Pulses in the domestic market is also being undertaken.
• Export of Muli Bamboo from Tripura and Mizoram thereby helping the local growers/traders of these states.

The Tea Board has set up the Darjeeling Tea Research & Development Centre at Kurseong, which is engaged in R&D activities to support the tea estates in the hilly region. Major financial supports are also given to the grantee institutions

like Tea Research Association (TRA) for developing infrastructure. The TRA is having its laboratory infrastructure at Jorhat (Assam) with seven advisory centers in the entire North East which has helped in building network infrastructure through V-SATs in the North East as well for creating data bank on garden information for transfer of technology to the tea estates. The direct linkage between the head quarter and advisory centers of the TRA has helped in speedy disposal of technical information up to the grass root level.

During the year, the Coffee Board also continued its research activities at the Regional Station in Diphu, Assam with a view to improve the production, productivity and quality of coffee.

During the 10th Plan period, the Rubber Board has implemented its developmental scheme called the Rubber Development in North East. The Regional Research Station, Guwahati has also conducted the farmer-scientist interaction programmes jointly with Rubber Production Department at Guwahati. A book entitled "Abhivridhi Anubhavangaliloode", a compendium of the innovations made by farmers, A published in local language and a short film on "Rubber Cultivation in the NE region in CD was also released.

Agri Export Zones (AEZs) have been set up for the North Eastern Region at Tripura for pineapples; Sikkim for floriculture, orchids, ginger and cherry; Assam for fresh & processed ginger.

SHEFEXIL, the Nodal Export Promotion Council to promote exports of "Minor Forest Produce" and the registering Authority for the related Exporters has made significant investments in terms of new opportunities in the north eastern region. The Bamboo projects in Mizoram (Lawngtlai District) and Tripura (Dhalai District) and the Medicinal Plants/ Botanical Herbs projects in Arunachal Pradesh (Upper Subansiri District) and Nagaland (Mon, Tuensang and Workha Districts) are at advance stage for consideration. The collateral benefit of SHEFEXIL's activities is direct employment benefit to the weaker sections of the society associated with the forests in the north eastern region. SHEFEXIL is also trying to develop and promote north east brand for sustainable and increased exports of India.