Biratnagar, January 26:

Export of vegetable ghee to India has dipped by 50 per cent in recent days. According to the office that issues certificate of origin at Biratnagar, the export of vegetable ghee to India till January 14 has gone down by 50 per cent, in comparison to last fiscal year. In 2063-64, 17,848 metric tonnes of ghee amounting to Rs 80,48,41,350 was exported.

However, only 8,302 metric tonnes of ghee worth Rs 45,37,63,000 was exported to India in the fiscal year 2064-65. The industrialists claimed that the export dwindled due to the rise of prices in raw materials in the international market. They also said that the export plummeted as a result of India’s fixing of export quota and raise in tax.

Many vegetable ghee industries have been already shut down due to lack of raw materials. Jump in raw materials prices, bank loan and obstruction in production caused Arun Vegetable Ghee Industry to close recently while Narayan Vegetable was closed some times back.

Owner of Baba Vegetable, Prakash Mundada said the vegetable ghee industries were affected due to the Indian government’s hike in tax. “The vegetable ghee production has also hit due to hike in prices of raw materials that come from third countries,” he added.

India has set an annual export quota of one lakh metric tonne for Nepal. Nepal Vegetable Ghee Producers’ Association has distributed the quota to the industries according to their production capacity.

“If the current trend is to follow, it would be difficult for Nepal to export vegetable ghee,” owner of the Pashupati Edible Oil Nanda Kishor Rathi said, adding that Nepal can not export the fixed quota also. “Not only the rise in prices of raw materials, but the industries now are also facing several legal challenges.”

Pashupati Edible Oil, Swastik Oil, Sri Ram Refinery, Manakamana Vegetable and Baba Vegetable are now in operation in the eastern region. These industries were manufacturing upto 40 tonnes of vegetable ghee per day. The ghee used to be exported to Andhra Pradesh, Asam, Chhattisgarh, Delhi, Gujarat, Jharkhand, Urissa and Punjab.