Nepal and China Friday signed Letter of exchange for free custom service provided by China to the developing countries.

Chinese Ambassador to Nepal Qiu Guohong and Secretary of Commerce and Supplies Purusottam Ojha signed the Letter of Exchange at a special program in capital Kathmandu.

The items exported to the China will have zero custom which will increase the trade and promote business and decrease the loss in business.

China has implemented the free custom on 4721 items, most of which are agriculture products, such as fruits, ceramics products, jewelries among others.

Earlier there used to be 10-35 percent custom charged on the various items exported to China.