State-owned Udayapur Cement Factory in deep financial crisis. Private sector cement factories in Nepal are profitable. They’ve even begun exporting cement to other countries. The state-owned Udayapur Cement Factory, on the other hand, is sinking deeper and deeper into a crisis by the day.
The factory is in a difficult situation as a result of the managerial leadership’s negligence. The factory is currently shut down. Even after the Chhath holiday, the factory, which opened a few days after the Dashain festival, has yet to begin operations. The local trade union has requested that the factory be established by the Ministry of Industry, Commerce, and Supplies. The union claims that top management has ruined the industry.
In the fiscal year 2020/21, the factory lost 306 million rupees. In the previous fiscal year, there was a loss of 333.36 million rupees. There was a profit of 100 million rupees in the fiscal year 2017/18. Surendra Paudel was the general manager at the time. The industry has not revealed its profit and loss for the fiscal year 2021/22. 5.5 billion rupees are lost until the fiscal year 2020/21.
While private sector cement plants make millions of rupees, the government-owned Udayapur Cement Factory has always lost money. According to the Ministry of Finance’s annual status review report on public enterprises, Udayapur Cement Factory has a 5.37 billion rupee investment. Pal stated that the industry’s economic situation is deteriorating and that employees are not receiving any services. State-owned Udayapur Cement Factory in deep financial crisis.
The trade union claims that General Manager Gopi Krishna Neupane is to blame for the industry’s demise. General Manager Neupane, on the other hand, drew attention to the fact that the four trade unions were wasting industry resources by spending on hospitality, vehicles, and other frivolous expenses.
