April 22: Nepalese sugar industries have been facing a total loss of Rs 2.25 billion as of mid-April in the current fiscal year 2075/76.   

 

The Nepal Sugar Industry Association informed New Business Age that the local sugar industries of the country are compelled to sell their sugar at cheaper price than their production cost resulting in the heavy losses.  

 

According to the association, sugar produced in Nepal remain in the warehouses due to the import of sugar worth billions of rupees from abroad. This has resulted in heavy losses to the local industries. 

 

Despite the government doubling the customs duty on sugar from 15 percent to 30 percent since May 13, 2017 the import of sugar still has not decreased. 

 

The association said in a statement that the sugar industries throughout the country have failed to pay the farmers because of the slowdown in sale of their product.   

According to the association, 20,000 metric tons of sugar have already been imported to Nepal until April 8 of the ongoing fiscal year.