CG to invest Rs 50bn in Nepal by 2022
Kathmandu, March 27
Chaudhary Group (CG) a multinational company headquartered in Nepal today announced it would invest Rs 50 billion in the country by 2020 in various projects that include industrial park in eastern Nepal, hydropower, among others.
“Though CG has expanded its business empire in various countries in recent years, Nepal is the foundation of our company, and we are expanding business here as per our principle that the foundation always needs to be strong,” said Binod Chaudhary, president of Chaudhary Group.
Nepal’s stake will be no less than 50 per cent in CG’s business empire, which is worth $1.3 billion as evaluated by the American business magazine, Forbes.
Hydropower will be second major business of CG, following the fast moving consumer goods (FMCG), as per Chaudhary. “We are going to develop 60-megawatt storage projects with total investment of Rs 17 billion, which is under the phase of survey.”
Construction of two other projects, namely Middle Modi (15.1 MW) and Super Madi (44 MW), is underway and expected to be completed by 2018 and 2021, respectively.
Another major expansion of CG will be the industrial park in Sunsari with total investment of Rs five billion.
“The necessary land has already been acquired and the construction process will begin soon,” explained Nirvana Chaudhary, managing director of the CG. The industrial park in Sunsari will also produce 144 million packs of noodles every year, the same quantity that is being produced from its Nawalparasi industrial park.
Capacity expansion of CG Brewery is also ongoing to produces three million cases of beer every year.
Two cement plants of CG will be expanded with the clinker plant in Palpa district with total investment of Rs 8.5 billion. The capacity of clinker production of the factory will hover around 1,950 tonnes per day, according to Nirvana. The grinding capacity enhancement of the cement plant in Dumkibas of Nawalparasi district will produce 2,200 tonnes of cement per day, for which CG is going to inject Rs 950 million.
Similarly, the hospitality and real estate businesses will also be expanded in the coming years, as per Nirvana.
The Summit Hotel in Lalitpur is going to be expanded at a total cost of Rs two billion by 2019, while Zinc City Hotel, also in Lalitpur, is going to be developed at a total cost of Rs 1.5 billion by 2018.
CG also plans to set up one ayurvedic wellness resort in Harkapur, Nawalparasi at a total cost of Rs 500 million by 2019, according to Nirvana.
“Under the real estate business, Kathmandu Residency Apartment is going to be developed at a total cost of Rs 500 million by June 2019.”