Biratnagar February 2:

The import of Indian sugar through the Biratnagar-based border has been stopped for the past six months. As the price of sugar rose in India, businessmen stopped importing sugar from India.

The price of sugar has also soared in the nearby Indian markets as Bihar increased the tax on sugar there. Tonnes of Indian sugar used to be imported to Nepal when the price of sugar was cheap in India.

Nepal Sugar Union informed that sugar is being imported to Nepal from Uttar Pradesh in India through the Rupaidiya border. It is cheaper to import sugar through this border, said the Union sources.

Hari Shankar Pudasaini, chief of Biratnagar custom office, said that the import of Indian sugar has been stopped for the past six months from this border point.

“The import of Indian sugar diminished as the price of Indian and Nepali sugar became same,” said Dinesh Golchha, member of Nepal Sugar Production Union (NSPU).

Till about six months back, the price of one kg of sugar was Rs 29 in the Indian market whereas the price is Rs 36 per kg in today, informed Golchha.

The NSPU is providing sugar at Rs 30.40 (excect government tax). The Union is selling sugar at Rs 37.31 per kg, informed the union.

Although the import of Indian sugar has been stopped in the eastern region, there is no lack of sugar, Golchha said.

He claimed in Sunsari, Amahibelaha-based Eastern Sugar Mill has been able to supply sugar to the eastern region. There is no compulsion for importing sugar form India, Golchha claimed.

The custom office sources said businessmen have totally stopped importing Indian sugar through this border. According to Dhruv Dahal, chairman of Birat Business Entrepreneurs’ Union, as the price of Indian sugar increased, most consumers are using Nepali sugar in the eastern region.

According to the union sources, more than one million metric tonnes of sugar is being consumed in the eastern region every year.

According to a statistics of regional office of Business Promotion Centre, sugar worth about Rs 56.4 million was imported to Nepal in the fiscal year 2061-62 BS from India. Dilip Kumar Aryal, the chief of the centre informed sugar worth Rs 12.8 million was imported in fiscal year 2060-61 BS.