Kathmandu. Nepal Automobile Importers and Manufacturers Association (NAIMA) Chairperson Ritu Singh Baidya met with Finance Minister Dr Swarnim Wagle and gave suggestions for comprehensive policy and systemic reforms related to automobile sector.

During the meeting, NAIMA stressed on the need for a stable, predictable and stakeholder-based policy environment and the automobile sector should be recognized as a necessity rather than a luxury. Likewise, the demands include reducing the overall tax burden, simplifying and making the tax structure balanced and maintaining financial access to vehicles by maintaining a hire-purchase system with up to 80 per cent loan and 20 per cent down payment.

The trend of arrears arising on the basis of different interpretations at the audit level even after the completion of customs clearance is creating business uncertainty, calling for a clear, uniform and transparent system. NAIMA has also raised the issues of customs process facilitation, testing infrastructure development, review of Transport Act, digital system integration, road safety and pollution control, promotion of assembling industry under ‘Make in Nepal’ and ensuring long-term policy stability.

It has pointed out the need to ensure clear, stable and incentivized policy arrangements for electric vehicles. Similarly, it has been emphasized that a balanced and equitable policy arrangement should be ensured according to the technical characteristics of hybrid vehicles by properly classifying them.

Finance Minister Dr. Swarnim Wagle said that the suggestions presented by NIMA are very relevant and appreciated NIMA for presenting the integrated issues of importers and producers. He also stressed the need for continuous dialogue between the ministry and NIMA.

Stating that the private sector was the major pillar of Nepal’s economy, he said the government was positive towards creating a private sector-friendly environment and was working towards making the overall tax system more balanced and practical. He also expressed his commitment to incorporate the suggestions presented in the upcoming policies and programmes and the budget as far as possible.

Similarly, the delegation also met with Hon’ble Minister of Physical Infrastructure and Transport, Sunil Lamsal and discussed current issues of mobility and automobile sector. On the occasion, Minister Lamsal thanked the automobile importers and manufacturers of Nepal for their significant contribution to national revenue, job creation and overall economic activities.

He also said that the government was taking positive initiatives to make policy arrangement to reinvest certain percentage of the tax revenue paid by importers and producers in the related sector development.

Nayama is an integrated representation of automobile importers and manufacturers of Nepal, playing a proactive role in policy reform, industry promotion and sustainable mobility sectors. Its members have contributed significantly to the national revenue, created a large number of jobs, and are playing an important role in the development of a modern, safe and sustainable transportation system.