Surya Nepal entering incense stick production

KATHMANDU, DEC 16 -

One and half years after the shutdown of its garment unit in Biratnagar, Surya Nepal Pvt Ltd is gearing up for new investment. And this time, the company is venturing into incense stick production.

Surya Nepal Corporate Vice President Ravi KC said the company plans to set up production units in Lahan and Rajbiraj in the first phase. “We will gradually expand to other parts of the country,” he said.

Surya Nepal aims to launch the product in the market within the next six months. KC said they ventured into incense stick production to promote employment and prepare skilled manpower, upgrade local production and ensure industrial climate in the country. The company is replicating the model it adopted while establishing its match production units. Under the model, Surya Nepal will first train the locals and provide them with raw materials and technology to set up a factory. “Surya Nepal will manage the factory,” said KC. Surya Nepal is considering two options: either injecting capital on its own or entering into partnership with the locals. “If locals want to invest, we will make them partners,” said KC.

The company has already seen success in its match production. Started from Biratnagar some five years ago, Surya Nepal has expanded its match (Tir) production to four other cities—Pokhara, Narayangadh, Butwal and Nepalgunj. The match units employ around 1,500 individuals. “We recorded a profit of Rs 10 million from match production alone last fiscal year,” said KC.

KC said the incense stick project is part of Surya Nepal’s corporate social responsibility (CSR) initiative. “Our decision to enter into incense sticks manufacturing is not purely commercial. It is our effort to increase our reach to the common people and help them upgrade their living standards through some income generation opportunities,” he said.

Source: The Kathmandu Post