In the 2006-07 budget, the Nepalese government imposed excise duty on instant noodles and increased import duty on packaging materials and palm oil. This has agitated the Nepalese Instant Noodles producers. They are afraid of price hike and decreased sales in future. Nepal Instant Noodles Industries’ Association (NINIA) has urged the government to reduce the import duty and dismiss the excise duty.
Below is given some important facts about Instant Noodles Industry of Nepal:
- Instant noodle was introduced in Nepal in the late 1980’s. At that time it was not that popular among people. With effective marketing strategies of the noodles companies it became very popular. Now it has turned into one of the major industries, with an annual income of more than four hundred crore rupees.
- Himshree noodles and Chaudhury Group played a big role in popularizing instant noodles.
- Rice and wheat are among the chief crops of Nepal and also the main ingredients for producing instant noodles. In addition, increasing urbanization changed people’s thoughts and life styles. All these things have a positive effect on the instant noodles industry.
The recent political instability has caused serious damage to Nepal’s economy. The 2006-07 budget of Nepal emphasized on rural development. However, industry and trading also plays key roles in a country’s economy. At present, the instant noodles industry employs 10,000 people. For an industry situated in a small country like Nepal, I think, this is a great achievement. So, the Nepalese Instant Noodles Industry deserves better facilities and support from the government.
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