BIRATNAGAR: Koshi Petroleum Chemicals Industry, the first petroleum industry in the country in established in Morang district three years ago to produce diesel, has been shut down for two months after it failed to compete with the international productions.
The industry was dragged into controversy from its inception for various reasons.
The chemical industry was supplying its products to industries after processing the raw materials that were brought in from the gulf countries.
Diesel produced from the industry was cheaper in price compared with the diesel produced from the Nepal Oil Corporation.
Proprietor of the industry, Subodh Koirala, informed RSS that there was no option to close the industry until the price of diesel was adjusted as per the international market.
The industry was established with the investment of around Rs 300 million and was supplying its products to the industries at Sunsari-Morang industrial corridor.