Smart vehicle, consignment tracking system to be mandatory from mid-July

Published On: June 18, 2019 11:32 AM NPT By: Republica  | @RepublicaNepal


KATHMANDU, June 18: The government is enforcing Internet-based vehicle and consignment tracking system from mid-July, requiring all transportation companies, importers or entrepreneurs to make entry of their goods and consignments in the centralized website before transportation of goods from one destination to another inside the country.

The Department of Revenue Investigation (DoRI) is currently piloting the new system that will be made mandatory for truckers and transporters from mid-July. Revenue investigation officials say that the digital measure is aimed at combating revenue leakage. However, the Internet-based entry will be required only for wholesale entrepreneurs.

“The new system is aimed at tracking the movement of consignments,” said Dirgha Raj Mainali, director general at the DoRI. “With the implementation of modern tracking system, we will remove all our check posts across the country,” he added. 

According to Mainali, there are 10 check-posts of the DoRI across the country.

The new system comes in line with the announcement made in the budget speech for the upcoming fiscal year 2019/20. “In order to control revenue leakage by reducing smuggling of goods and distortions in transportation of domestic products, the chain of production, transportation and sale will be linked to a tracking system,” reads the budget speech of Minister for Finance Yuba Raj Khatiwada.

The system, which will also be linked with the customs, will track all parties involved in business activities, ranging from importers to consumers, according to authorities. DoRI, importers and entrepreneurs will be able to get real-time update about the movement about their cargo and consignment.

The department has also said that the tracking system will ensure greater transparency in import business, check smuggling of goods and discourage the use of fake Value Added Tax (VAT) bill, among others.

Apart from combating revenue leakage, Mainali said that the online tracking system will also be beneficial for truckers and entrepreneurs as it will end the hassles emanating from manual checking of documents during transportation. It is also expected to reduce the cost of transportation of goods, while also allowing users to track the transported consignments online. 

The DoRI estimates that over 100,000 entrepreneurs will sign up in the new system once it comes into full operation. Apart from details of the consignment, the user will have to enter vehicle number, driver’s name and entrepreneur’s permanent account number, among other details. 

“With the implementation of the new system, transporters and entrepreneurs will no longer have to present the copy of invoices,” DoRI Director General Mainali told Republica.

According to Mainali, the DoRI will fine Rs 50,000 for the first time if any truck or transport entrepreneur fails to enter the details of their consignments in the tracking system. The new tracking system will also make it easier for the department to investigate into the possible leakage of revenue, say officials.


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