The government has decided to provide cash incentive of Rs 15,000 to earthquake-hit people for buying corrugated roofing sheets in rural areas. It is also preparing to step up vigilance and monitoring to ensure smooth supply, quality and stability in price of corrugated sheets.
Minister for Industry Mahesh Basnet said the government was preparing to relax customs duty on import of corrugate sheets, realizing that the material could be on short supply amid growing demand from earthquake-hit people.Earlier, local industries used to export around 50 percent of their production to India. Remaining 50 percent used to be consumed locally.
"It seems that domestic industries will meet only around 50 percent of the demand. We plan to reduce customs duty on corrugated roofing sheets importer from India and China for few months to prevent its shortage," Minister Basnet told Republica. "Ministry of Finance is doing homework on how much duty can be waived off. We will have to make sure that price of imported and locally produced corrugated roofing sheets will remain more or less the same."
The government has held consultation with the representatives of four corrugated roofing sheets manufacturers -- Bhagawati Steel Industries Ltd, Hulas Steel Industries Ltd, Arati Steels Ltd and Rajesh Metal Craft Pvt Ltd -- to take stock of their production and supply capacity in the wake of the disaster.
According to Minister Basnet, these four industries can operate up to 80 percent of their installed capacity, or produce a total of around 13,000 bundles per day, if electricity is supplied round the clock.
The government estimates that each 700,000 damaged home needs two bundles of roofing sheets.
"We plan to complete the rebuilding and roofing works within one and half months. This means we will need around 1.4 million bundles of roofing sheets during the next one and half months. While local industries can supply around 585,000 bundles, we have to import the remaining from India and China," Minister Basnet said, adding that the government will relax customs duty on such imports.
He also said that the government might mobilize National Trading Ltd -- a government undertaking – for import and supply of roofing sheets.
Minister Basnet also told Republica that the government has deployed a team of quality inspectors and security personnel in all four industries so that the price and quality of roofing sheets is not compromised by the suppliers.
He also said the government plans to mobilize police and army personnel to transport roofing sheets to remote areas where private transporters cannot reach. "The purpose is to make sure that quake-hit people do not face shortage of roofing sheets to rebuild their homes," he added.
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