June 30: The third general assembly of the Madhes Province chapter of the Federation of Nepalese Chambers of Commerce and Industry concluded on Wednesday by passing a 15-point Janakpur Declaration. The assembly passed a proposal to establish industrial zones in at least three places for industrialization of Madhesh Pradesh.

At present, most of the industrial establishments are concentrated in the Pathalaiya area of ​​Birgunj and it is becoming difficult to get land for new industries in the corridor.Chairman of the Madhes Province chapter of FNCCI Ganesh Prasad Lath informed that the federation has also passed a proposal to take initiative for the participation of the private sector in the production and management of solar energy and expansion of transmission line in the state. Proposals have been passed to extend the Jayanagar-Janakpur railway from Bardibas to Pathalaiya, set up a revenue tribunal, set up a polytechnic institute to produce skilled workers, speed up the construction of the Postal Highway, solve the problems faced by Indian tourists when they bring Indian currency, set up an agricultural market and build a hospital for the workers.

In the inaugural session of the General Assembly, FNCCI President Shekhar Golchha said that the country head towards the path of Sri Lanka if a solution is not found in time as the country's economy is in serious trouble. He said the economy was in serious trouble due to the effects of the coronavirus pandemic and rising tensions over Russia-Ukraine war.

Golchha claimed that the government's target of 8 percent economic growth through the budget for the upcoming fiscal year (FY 2022/23) was not attainable.

Claiming that the federation has always been active involved to uplift the private sector and the country's economy, Golchha said that most of the entrepreneurs were satisfied with the role of the federation. Former FNCCI President Chandiraj Dhakal claimed that the policy taken by the government through the upcoming budget would bring down domestic production.

FNCCI Vice President Dinesh Shrestha said that the government’s claim to increase production for import substitution did not have any basis. According to Shrestha, the budget provision brought by the finance minister for the upcoming fiscal year has discouraged production. 

Another FNCCI vice-president Anjan Shrestha said the government's policy was not investment-friendly. He said there should be a clear and long-term policy for investment. He argued that security of investment should be the first pre-condition. 

Kishor Pradhan, former vice-president of the federation, said that the FNCCI has not been able to play an effective role as per the expectation of the business community. According to Pradhan, the FNCCI leadership was not serious about the deteriorating economic situation of the country. “While the federation is welcoming the budget at the center, there are protests in the districts. The need for a federation is under questioned. This is unfortunate," he said.

Ashok Kumar Temani, former president of the Birgunj Chamber of Commerce and Industry and chairman of the Nepal-India Socioeconomic Forum, claimed that the government had increased the pressure of tax on the private sector by increasing the size of the budget in the face of economic crisis.