Surge in Industrial Dynamics: 140 Businesses Shut Down, Registration and Closure Rates Soar

The enrollment process for local and small industries in Chitwan has been completed, and currently, approximately 140 industries have ceased operations. The office has submitted a request to close these industries within the ongoing fiscal year.

As per Information Officer Narayan Prasad Khanal, 31 production-oriented, 55 agriculture and forestry-related, 20 tourism-related, and 34 service-oriented industries have shut down. Additionally, 40 industries opted for voluntary closure after sales, and 11 industries have relocated.

In the present fiscal year until the month of Magh, 258 industries have been officially registered, with small-scale industries dominating the registered entities. Khanal noted that there has been a notable increase in the speed of industry registration, closure, and sales compared to the previous year.

Within the same timeframe, commercial firms have incurred expenses totaling NPR 181 million. There have been 13 closures and 22 relocations reported, along with 73 new registrations by commercial entities. In the fiscal year 2079/80, 434 businesses were shut down, and 38 industries underwent relocation. In the same fiscal year, 69 industries were closed. According to Khanal, the previous fiscal year saw the registration of 859 industries, with 63 industrialists requesting closure and 34 industries changing their locations.

Khanal pointed out that there has been a rise in the number of companies registering for foreign employment, showcasing income, and subsequently closing down. He highlighted that industries or businesses with an annual income of up to five lakhs when closed, can be registered with the municipality. The impact of the economic downturn and the coronavirus has led to the closure of small industries.

Interestingly, a majority of industries registering at the office are under the names of women. Khanal mentioned that due to a 50% tax rebate in revenue, there has been an increase in the number of registrations in women's names. In the current fiscal year, out of 133 women entrepreneurs registering industries, 111 were registered in the names of men.