Nepali gas bullets stuck in Birgunj customs to be released

Published On: December 29, 2016 02:16 AM NPT By: Dilip Poudel


KATHMANDU, Dec 29: Gas bullets with Nepali license plate, which have been stuck in Birgunj Customs Office for the past four weeks, will finally be able to enter Nepal.

Two bullets with number plate Na 7 Kha 927 and Na 7 Kha 928, imported by Everest Gas Industry, Kathmandu, were stopped by Birgunj Customs Office after they were released by the Indian customs.

The customs office had stopped the bullets due to confusion over customs duty waiver on gas bullets. 

Though the government had announced to waive off two-thirds customs duty on import of gas bullets through the budget for Fiscal Year 2016/17, the Department of Customs had not circulated the notice to its subordinate offices. As a result, officials at the Birgunj customs stopped the bullets from entering Nepal.

However, the finance ministry has directed the Department of Customs to provide all facilities announced in the Financial Act.“"Customs formalities will now be completed within 1-2 days”" Sishir Dhungana, director general of Department of Custom, said.

Shiva Ghimire, president of Nepal LP Gas Industries Association, said that other bullets will also enter Nepal once the stuck bullets are release from the customs office. He also added that 300 bullets are about to enter Nepal.

The government has allowed 46 gas industries to import 775 bullets.

The entry of Nepali bullets is expected to save Rs 2 billion annually.

Gas dealers seek hike in commission

LP gas dealers have asked the government to hike their commission. 

They have asked the government to increase their commission to Rs 67 per cylinder form existing Rs 32. 

Gyanendra Aryal, president of Gas Dealers' Federation Nepal (GDFN), said that it has been seven years since the dealers' commission was increased. "The government should provide at least 5 percent of the price of cooking gas as our commission”" Aryal said, adding:“"We will be forced to stop distribution of gas if our demand is not addressed soon”"

Stating that VAT is not levied on cooking gas in other South Asian countries, the association has also asked the government to remove VAT on cooking gas.

The federation has also asked the government to bring Petroleum Act at the earliest.“
"It is unfortunate that there still is no law to govern the section having annual transactions worth billions of rupee”," added Aryal.


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