Sputtering economy causes closure of 207 industries in Rupandehi last year

Bhairahawa- At a time when the advocacy has been continued for quite a while, seeking an atmosphere conducive for the industrial development to contribute to national economy, Rupandehi district recorded a grim status last year.

In a year (2080/81BS) alone, a total of 207 industries were closed down in the district. Chief of Cottage and Small Industries Office in Rupahendi, Netra Prasad Bhusal, said 207 industries were shut down till the end of Baisakh in the current fiscal year. In the same time last year, this number was 217, he added. Office chief Bhusal reasoned sputtering economy behind the closure of industries in the district. The industrial outputs were on decline.

“Not only the closure of industries, but also the registration of new industries was in decline,” he said, adding that a total of 1,130 industries were registered in the fiscal year, 2079/80, while the registration dropped to 727 this year. The commerce sector also bears unpromising reality. In the last fiscal year, total 1,304 business firms were registered, which downed to 1,175 this year.

The number of business firm closing business last year was 19, which increased to 26 now, according to Bhusal. The economic downturn took a toll especially on production industries, said Thakur Kumar Shrestha, Chair of FNCCI in Rupandehi. “Rupandehi is known as an industrial hub. Here are large industries as well. But, some industries are closed and those in operation are at 30 to 40 percent production capacity.”

Moreover, 10 cement factories are closed in the district. The business and construction industries are also facing hard times. The government must pay heed to the suggestions the businesspersons furnished. Shrestha underlined the need for addressing private sectors’ agenda in the forthcoming budget.