Kathmandu. Federation of Nepalese Chambers of Commerce and Industry (FNCCI) President Chandra Prasad Dhakal has urged Prime Minister KP Sharma Oli to improve the budget for the fiscal year 2082/83 BS and the provisions related to the private sector implemented recently.

In the meeting held on Saturday, Chairman Dhakal expressed happiness over the inclusion of the provisions raised by the Federation in the budget for the fiscal year 2082/83 BS. He urged the government to facilitate the enterprise business as some provisions of the budget and the recently implemented policy provisions have affected the enterprise business.

During the meeting, PM Oli said his government was making efforts to create a private sector-friendly business environment and had taken the suggestions of the Federation positively. Meanwhile, FNCCI President Dhakal called on Deputy Prime Minister and Finance Minister Bishnu Prasad Poudel on Sunday and drew his attention to the suggestions of the Federation in the budget for the fiscal year 2082/83 BS.

Dhakal’s suggestions to the Prime Minister include value-added tax levied on air tickets and diamond jewellery, IA facilities being provided on hydropower, provision of Euro 5,6 on vehicles, fair festival, MRP, import and export of vegetable products.

He also urged the government to remove the value added tax (VAT) imposed on gold and silver business and the extended luxury tax. Similarly, Chairman Dhakal drew the attention of The Kathmandu Post to the fact that Nepal has become an expensive tourist destination with value-added tax (VAT) on tickets and 2 per cent luxury tax on five-star hotels and resorts. This arrangement has had a double effect as the practice of taking tickets from other countries has increased.

Similarly, the Ministry of Forest and Environment has also requested for the provision of bringing goods that have been ordered under the old criteria (Euro-30) as the euro-5 and 6 standards recently implemented by the Ministry of Forest and Environment have obstructed the import of vehicles and spare parts. It has been requested to extend the existing tax exemption given till 2082 for the construction of power projects till 2092 as the agreement for the export of 10,000 MW electricity has been signed in India and the export of electricity to Bangladesh has also started.

Similarly, demanding clarity on the power purchase agreement, the FNCCI said that the ‘take and pay’ policy of the run-of-the-river project has created confusion in investment and it is necessary to further clarify the revised arrangement made by the government.

More than 130 District Town Chambers of Commerce and Industry affiliated to the Federation of Nepalese Chambers of Commerce and Industry (FNCCI) have been organizing local fair festivals for the last two decades and have been supporting the marketing of local products and identities as well as economic activities. ।

The Federation has also urged for facilitating export of steel products affected by Indian quality standards and portal problems and adjusting the prices of goods that have been tariffd higher on final goods than raw materials in the budget. It has also demanded implementation of the provision of mandatory MRP labeling on domestic and imported goods in consultation with the private sector, while it has been requested to simplify and make the enemy life risk analysis (PRA) process in import and export of plant products simple and cost-effective to facilitate flower business.

FNCCI President Dhakal said that if these demands are addressed, it will contribute significantly to investment promotion, employment generation and economic reforms.