Minister Jha says woven sacks OK for two more years

KATHMANDU, AUG 28 -

Industry Minister Anil Kumar Jha said on Monday that if cement producers agree to switch to laminated bags to package cement within two years, they will be allowed to continue using woven sacks during that period.

The cement industry has been up in arms after the Ministry of Environment, Science and Technology (MoEST) ordered it to use laminated plastic bags and gave it a 91-day deadline.

The government officially announced the new rule by publishing a notice in the Nepal Gazette on May 28. Cement manufacturers have asked the government to make the system optional or defer the decision for at least three years.

Speaking at an interaction organised by the Confederation of Nepali Industries (CNI), Minister Jha assured cement manufacturers that the government would make the final decision only after holding discussions with the MoEST.

“If cement producers agree to adopt laminated packing system within two years, we will give them that leeway,” said Jha. He denied any role of his ministry in introducing the provision of laminated bags. “Our ministry has only agreed in principle to the MoEST proposal,” said Jha.

Speaking at the same programme, president of the Cement Producers’ Association Atmaram Murarka said that cement producers would continue production and supply of cement based on the industry minister’s pledge.

“We hope the government will not punish us for not adopting the new packing system as the industry minister himself has said that it is okay to continue with the current system,” he said.

“However, if the government creates any problem for cement producers, we will halt production.”

Previously, cement manufacturers had said that the government’s move was not justifiable as there were no factories in the country that can produce plastic-lami-nated sacks.

“Implementation of this directive will result in the closure of all the cement and sack factories and put investments of more than Rs 50 billion at risk,” Murarka said.

There are 40 cement factories in the country that need around 80 million sacks per year. At present, 12 sack factories have been producing woven fabric sacks to fulfil the requirement of local manufacturers.

Source: The Kathmandu Post