Nepal’s cement import from India has increased as domestic production was unable to meet the local demand.
Import of cement has increased more than two times in the first 10 months of this fiscal to Rs 16.02 billion when compared to Rs 7.99 billion in the corresponding period of the last fiscal.
Cement import has increased as the capacity utilization of most cement plants has failed. This is because problems in importing clinker, coal and other essential raw materials.
At the same time, Nepal Electricity Authority has also minimized electricity supply to cement plants, lament manufacturers. Shortage of coal to operate the plants during power cut hours affected the manufacturing units.
According to Cement Manufacturers Association of Nepal, there are 48 cement factories in operation, but only 14 cement factories have their own clinker production plants that help to produce cement capacity of 8 million metric tonnes per year.
Manufacturers say the country could be self-reliant in clinker in the duration of two years if the problems at developing mines are resolved.