Rupandehi :

Though there are several challenges in this transitional phase of the nation, we hope that the political crisis in the country would make way for a phase of development.

Economic development has not picked up speed in the last six decades. This is the main national challenge. If this challenge is not met adequately, the nation would have to face problems and crisis once again. Therefore the budget for the next year, which is being drafted, should not only be based on theory and limited to paper, but it should be transparent, practical, people-oriented and business-centric.

It is essential that the budget should focus on the development of the agricultural sector. The budget should lay emphasis on creating opportunities for people in rural areas.

To uplift the standard of industries and reactivate them, the budget must free industries from the burden of interests to be paid on bank loans and providing training related management. A minimum tax should be charged on ago-based and dairy products.

Custom duty on raw material imported is more compared to the duty on finished products. Local industries are not being helped due to impractical custom rule.

The budget has to consider these points. Government has to increase the number of taxpayers and not the tax rates. It must also formulate a stable and simple revenue policy.

Local chambers should be authorised for custom valuation and other local custom matters. The custom duty on raw materials should be less than what is on the finished product, which can be produced fr-om the same raw material. A friendly taxpayer policy has to be introduced.

Though smallscale entrepreneurs are exporting their products, filling up custom Pragyapan letters, as the office of inland revenue does not recognise exports made without ope-ning of an LC, it forces the-m to pay VAT on such exports. Therefore, a provision needs to be made to allow exports equivalent to Rs 50,000 on the basis of Pragyapan letter.

It is necessary to introduce a plan to discourage corruption. As the revenue cell formed under the ministry of finance has been inimical to the interest of businessmen, a transparent and practical program-me should be introduced as an alternative to the provision of revenue cell.

The major demand of the private sector is to create an environment, suitable for running business by resto-ring peace in the country. Similarly, a good revenue policy is a major basis for industrial development and growth in trade.

The government should bring important packages for the development of tourism industry. It should make attempts to attract investment from NRNs. Apart from this it should pay attention to manage the open borders between India and Nepal and stop illegal imports.

(The author is chairperson, Siddharthanagar Chamber of Commerce and Industry.)