Stop syndicates

It is hard to imagine why the state continues to remain a silent spectator even when transport syndicates continue to mushroom across the length and breadth of the country despite the fact that forming such cartels is strictly against the laws of our land. Syndicates of public vehicles (buses, micros, etc) not only greatly inconvenience the general public but also pose a great risk to their lives as is evident from Friday’s bus accident in Kavre district that left four people dead and injured at least 50 others.



By forcing only a certain number of vehicles to operate on certain lucrative routes, these cartels compel as many people as possible to use their services and the resulting overcrowding sometimes lead to fatal accidents. That is what allegedly happened in Kavre too. Locals also direct the blame on the syndicate system, which is against Competition Promotion and Market Protection Act as well as Vehicle and Transport Management Act, for the absence of a direct bus link between Banepa, the district headquarters of Kavre, to Kathmandu. This has also been greatly inconveniencing the locals there.



Similar cartels of truckers have also been operating openly unnecessarily jacking up prices of many commodities greatly affecting a populace already reeling under the effects of inflation. Recently, as was reported by this paper, truckers in the far-western region reintroduced the syndicate system after a hiatus of two years and since then prices of commodities have gone up by 20 percent to 25 percent. Transporting goods from Dhangadhi to Achham has risen from Rs 130 to Rs 370 per quintal and, of course, we need not state here that the additional cost will eventually have to be borne by the hapless consumers.



That syndicates not only operate openly but have thrived in Nepal despite the practice being illegal is an indication about the poor law enforcement mechanism, a great incentive for elements that are on the lookout to make easy and quick money. This has to be rectified. Simply shouting from the rooftops that we believe in competition, a hallmark of a free and an open market that our state claims to espouse, is not enough. That has to be translated into action.



Prime Minister Madhav Kumar Nepal has reportedly directed the concerned authorities Sunday to take steps to weed out this practice from the country. This is a welcome move but we will wait and watch whether his initiative produces any result. Those involved in violating the laws of the land must be brought to book and they deserve nothing less than exemplary punishment.

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