NFMA lauds proposed export ban on wheat

NFMA lauds proposed export ban on wheat
eKantipur.com, 23-Apr-08

Nepal Flour Mills Association (NFMA) has praised the government's initiation to impose a ban on the export of wheat on the back of a looming food crisis.
Issuing a statement on Wendnesdy, NFMA said the government's fresh initiatives would end the shortage of wheat for flour millers and contain the increasing price of flour.

"Flour mills have been compelled to run only during the harvesting season. The proposed move will allow us to operate at other times too and make wheat easily available at cheaper prices," NFMA further said.

NFMA has also demanded that the government cut the Value Added Tax, district development tax and syndicate system on flour to increase competitiveness against smuggled Indian flour that are flooding the Nepali market at cheaper rate than Nepali flour.

Nepali flour mills, bakeries, and biscuit and noodle factories are expected to benefit from the government's response on containing the increasing food shortage in the country.

Nepali traders have been shipping local wheat for last few month lured by handsome prices offered by Bangladesh which is facing a food crisis due to heavy loss on agriculture produce following devastating cyclone few months back and an export ban on wheat by India.