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‘Holidays are increasing cost for business’
KATHMANDU, APR 03 -
President of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI) Kush Kumar Joshi said on Saturday that the huge number of holidays was raising cost of production for industries as they have to pay additional charges for storing goods in customs offices.
"We have to pay more unnecessarily due to increased holidays," he said, during the First National General Convention of the Federation of Customs Agents. "It is disastrous when the Indian holidays get started on the other part of the border following Nepal's holidays."
Further more, he said they were compelled to pay charges even for the storage of goods during strikes. "We want the waiver of such charges," Joshi said. Due to delay in customs procedures and transit, logistical support services for Nepal's goods are one of the poorest in the world.
Nepal ranks among the 20 least performing countries across the world as per the latest Logistics Performance Index prepared by the World Bank in 2010. Joshi hailed the government's decision to mobilise the Armed Police Force (APF) for industrial security but demanded that general strikes must also be prohibited. The government is mulling over banning strikes. He pointed out that customs regime was not precise and they had to debate on the definition of the customs regimes.
As the federation is planning to be a member of the FNCCI, Joshi welcomed its entry into the FNCCI as a representative of customs agents. There are 227 registered customs agents across the country, according to the federation. The system of customs agents was introduced 12 years ago in Nepal.
They work as a bridge between the customs office and business community. The Federation's president Jaya Prasad Shiwakoti said there was a need for better coordination between the customs officials and agents to smoothen the clearance process.
He also hailed the reforms being taken place in the customs administration with the introduction of broker module and selectivity module under which goods are checked on sample basis and cleared.
During the ceremony, Director General of the Department of Customs Nawaraj Bhandari said that the customs administration was witnessing a lot of reforms in the recent years and the process was ongoing as per Nepal's commitment to the World Trade Organisation, South Asian Free Trade Agreement and other regional and global mechanisms.
"We are committed to make customs offices technology intensive to ensure more transparency," he said. "But, organisations such as FNCCI and Nepal Chamber of Commerce should also take action against businessmen involved in practices such as smuggling," he said.
Posted on: 2010-04-04 08:09
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