Birgunj, December 16:

Cement factories in the Birgunj-Pathlaiya corridor are hit after the truck entrepreneurs hiked the transportation charge against the government directives.

While many factories have been closed, some others have reduced production after the transportation costs skyrocketed due to the truck entrepreneurs raised the fare. The closure of factories and cut in production have affected investment of around one billion rupees and jobs of around 1000 workers, factory owners said.

Shalimar, Narayani, Krishna, Ambe, Star, Shri and Biswokarma cement factories are in the Birgunj-Pathlaiya corridor. Their combined production capacity is 1700 to 1800 metric tonnes a day.

“As cost of cement will be higher when it reaches Pokhara or Kathmandu due to high transportation cost, it will be more expensive than cement produced in Bhairahawa,” propriater of Shri Cement Factory, Satya Narayan Kyal, said, adding that there is no option than to shut the factories.

Manager of Narayani Cement Factory Umesh Chandra Thakuri, said that trucks charge Rs 15,000 for a trip to Kathmandu that makes Birgunj cement more expensive by Rs 70 to Rs 80 than the Bhairahawa cement.