Bandas dishearten industrialists in East

BIRATNAGAR, MAR 06 -

The overall industrial environment may have improved of late, but industrialists in Eastern Nepal are still hard hit by a series of strikes and bandas since the past three months.

Industrialists say the strikes called by various political outfits have made business difficult at a time when they are facing an acute energy crisis and are also having to pay high interest rates to banks.

The region witnessed a total of 61 strikes, bandas and chakkajams in the past three months. According to the Eastern Regional Police Office in Biratnagar, the region saw two Nepal bandas, five regional bandas, two Tarai-Madhes banda and seven district bandas during this period, apart from the 45 chakkajams.

Industrialists say industries based in the Sunsari-Morang Industrial Corridor, one of the country’s largest industrial belts, incurred a daily loss of more than Rs 150 million due to these strikes. A majority of the industries are closed since Sunday.

The government’s revenue collection has also taken a beating. The Customs Office at Rani said it is facing a daily revenue loss of Rs 25 million due to the strikes.

The General Secretary of Morang Merchants’ Association (MMA), Prakash Mundara, said conducting business has become a tough job at a time when industries are forced to reduce production due to power shortage. “How long do we have to pay taxes to the government when there is

no diesel or electricity,” Mundara said.

Given the relative improvement seen in the business environment and the easing labour unrest, the corridor got some fresh investments in the last one-and-a-half years. The past 15 months saw investment worth Rs 2 billion being made in the corridor by Biratnagar’s leading industrial groups.

The settlement of the wage dispute between employers and workers and a breakthrough in the Maoist combatants’ integration process had prompted industrial groups in Biratnagar, including Golchha, Bohara, Kabara, Rathi and Sarada, to scale up investment.

However, these strikes, according to industrialists have dampened their spirits. “We had some relief a few months ago, but these strikes have disappointed us again,” said Shiva Shankar Agrawal, the vice-president of Industries Association, Morang.

Source: Kantipur