CIM makes recommendation for budget for fiscal year 2022/23

KATHMANDU: A delegation of the Chamber of Industries, Morang (CIM) led by its President Suyesh Pyakurel called on Finance Minister Janardan Sharma and Minister for Industry, Commerce and Supplies Dilendra Prasad Badu on Monday. The CIM delegation submitted recommendations on the budget for the fiscal year 2022/23. CIM President Pyakurel urged Ministers Sharma and Badu to implement the issues in the interests of the industry and business sector included in the budget in the current fiscal year 2021/22 which are yet to be implemented. He urged the ministers to prioritise the suggestions in the budget for the next fiscal year and implement them. The recommendations include the facilitation to provide capital of up to Rs 2.5 million at 1% interest rate with project collateral for the purpose of motivating young entrepreneurs to start startup businesses. The government has been urged to establish a challenge fund of Rs 1 billion. In order to develop skilled manpower in line with the needs of industries in the country, to create an additional 25,000 jobs by providing basic training equivalent to three months minimum wage to the trainee workers in production and service-oriented industries in partnership with the private sector. A total of Rs 1 billion had been allocated for this in the current fiscal year. The suggestions include the initiative to conduct feasibility study to establish special economic zone (SEZ) in Amarduba of Sunsari and to upgrade exhibition site which is in operation in Biratnagar. Other issues included in the budget which was not implemented include the arrangements to provide additional subsidy to the exporters who have exported goods at a quantity and price more than the previous fiscal year. The export subsidy was to be extended to the producer level. The CIM has also urged the government to implement safeguard, and anti-dumping and countervailing laws to protect the domestic industries. Likewise, the CIM has suggested reviewing commerce and trade agreements with neighbouring countries, and expanding trade with third countries by making maximum use of transit facilities provided by friendly countries — India and China. It has been recommended to expedite the construction of international trade infrastructure and connect the integrated check posts along the Nepal-India border with the railways. Industrial Business Act, 2076 stipulates that if at least 10% of the total employed manpower are trainee workers in the manufacturing industry, the subsistence expense, training expense and expense incurred in the production capacity of the manpower employed in the industry can be deducted from the income tax calculation purposes. However, it was not clear how to use such a facility in the current fiscal year. The CIM has appealed to the Finance Minister and Industry Minister to make the issues clear. The delegation included Vice President Nanda Kishor Rathi, Treasurer Bipin Kawara, Executive Committee member Surendra Golchha, Indra Khatri Rajan, Paras Luniya, former president Mukesh Upadhyay, CIM President's advisor Som Nath Adhikari and Director General Chudamani Bhattarai.