The existing law ban such dial-system and syndicate in transportation sector. Federation of Nepalese Chambers of Commerce and Industry (FNCCI) too has been protesting such practice, as transporters hike service charges citing curtailed businesses. [break]
Western Truck Transport Entrepreneurs Committee (WTTEC) has reintroduced the practice effective from Wednesday. “Nine different committees of truck operators based between Banganga of Kapilvastu and Sarlahi of eastern Tarai have started this practice from Wednesday,” said Gupta Bahadur KC, president of the committee.
The committees entering into anti-competitive practice include Balkhu Truck Entrepreneurs Committee of Kathmandu, Western Truck Entrepreneurs Committee of Butwal, Banganga Truck Entrepreneurs Committee of Kapilvastu, Gandaki Truck Entrepreneurs Committee of Pokhara, Narayani Truck Entrepreneurs Committee of Hetauda, Tarai Truck Entrepreneurs Committee of Birgunj, Tanahun Truck Entrepreneurs Committee of Damauli, Rautahat Truck Entrepreneurs Committee and Sarlahi Truck Entrepreneurs Committee.
With the introduction of the system, WTTEC has jacked up the transportation service charges as well.
“Now transportation cost of ferrying goods from Bhairahawa to Kathmandu has gone up to Rs 16,000. Previously it was Rs 13,500 only,” said KC. He told myrepublica.com that the rates for ferrying goods to other parts of the country too have been increased accordingly.
Interestingly, the committee has claimed that it has started the odd-even playing practice in order to cut diesel consumption, support the country to narrow down trade deficit, prevent capital flight and lower rate of accidents.
KC further stated that free-competition and open policy has caused imports of more than 40,000 trucks, whereas operations of just 15,000 trucks were more than enough to fulfill the transportation demand in the market.
“This unnecessary inflow of trucks is causing imports to soar. It has also spurred rise in imports of spare parts and fuel, among others,” said Ganesh Pant, general secretary of the committee. “If we succeed in controlling it, it will instantly bring down the trade deficit by Rs 12 billion,” he claimed.
So far, 300 trucks were operating in Butwal region. The dial-system would now allow operation of only half of them in a day. This would also cut fair business opportunities for good and efficient operators.
“Before the system, we were effectively operating 15 trips to and from Bhairahawa and Kathmandu. Now we will be able to operate only eight trips,” said a truck operator.
KC stated that the decision to reintroduce odd-even operating system was taken by the recently concluded general meeting of Nepal Truck Tanker and Cargo Entrepreneurs Federation.
“It will be gradually implemented in all the parts of the country,” he added.
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