Govt. prepares to privatize sick and closed industries

The Privatization Committee has decided to recommend a proposal to the Council of Ministers for the privatization classification of some sick and poorly performing corporations. 

The meeting held on Monday under the chairmanship of Deputy Prime Minister and Minister for Finance Bishnu Prasad Paudel has decided to recommend a proposal for the classification of Janakpur Cigarette Factory, Nepal Metal Company and Hetauda Textile Industry.

Similarly, it has been decided to recommend proposal for classification of Biratnagar Jute Mill, Butwal Yarn Factory, Gorkhkali Rubber Industry, Udaypur and Hetauda Cement Factory. After the classification by the Council of Ministers, a study committee with experts will be formed for the evaluation of asset and liability.

After the assessment of assets and liabilities, based on suggestions received from experts, the modality and process of privatization will be identified and recommended to the Government of Nepal, according to officials.

Janakpur Cigarette Factory, Nepal Metal Company, Hetauda Textile Industry, Biratnagar Jute Mill, Butwal Yarn Factory and Gorakhkali Rubber Industry have been closed for a long time. 

Likewise, Udaypur and Hetauda cement factories are continuously running at a loss as well as the level of performance is weak.

Minister for Industry, Commerce and Supplies Damodar Bhandari, Chairman of the Federal Parliament Finance Committee Santosh Chalise, Member of the House of Representatives and Member of the Privatization Committee Rajan KC, Vice Chairman of the National Planning Commission Prof Dr Shivraj Adhikari, FNCCI chairman Chandra Dhakal and Commerce Secretary among others participated in the meeting.