Nepal: Amid cement manufacturers' claims that Nepal has become self-reliant in terms of cement production, cement imports have actually risen by 15.5% in the first 10 months of the country's current fiscal year, which runs until 15 July 2013.
In the review period, Nepal imported cement worth US$34.6m, against the imports worth US$30.0m in the same period a year earlier, according to the Trade and Export Promotion Centre statistics. Over the period, the country also saw seven new cement factories commissioned or announced.
According to Aatma Ram Murarka, former president of the Nepal Cement Manufacturers Association (NCMA), the imports went up because of the ongoing development projects with foreign investment. "In case of projects with foreign investment, the government has provided customs, tax and VAT waivers on cement imports from India," said Murarka.
Murarka said that domestic manufacturers have repeatedly demanded that the government roll back the provision because they say that local production can meet the market demand. "The government hasn't reviewed it seriously," he said, adding that projects being undertaken by Nepali contractors were, however, using domestic products.
