Ratopati
August 15, 2026
Biratnagar. Nepali brick entrepreneurs are in serious crisis due to the government’s decision not to allow brick production before January 1st every year.
Entrepreneurs claim that limiting the production period through administrative orders in this seasonal industry has put billions in <a href="https://bitcomme.com/r-o-i-return-on-investment-at-san-francisco-playhouse-at-creativity-theater/” title=”R.O.I. (RETURN ON INVESTMENT) at San Francisco Playhouse At Creativity Theater”>investment at risk, cost thousands of workers their jobs, and created an artificial shortage of bricks in the market, leading to price increases. While this decision is being opposed from all sides, Bhim Ghimire, Managing Director of AB Brick and Tile Industries Pvt. Ltd. Sunsari and an entrepreneur, has submitted an application to the Secretary of the Ministry of Industry, Commerce and Supplies, demanding the immediate repeal of the decision and related directives.
The Brick Industry Federation, Koshi Province, has also stated that it has filed an application with the Supreme Court demanding the repeal of the decision.
In the application submitted by entrepreneur Ghimire, it is mentioned that letters issued by the Department of Industry, Office of the Chief Minister and Council of Ministers (Koshi Province), Ministry of Industry, Agriculture and Cooperatives (Koshi Province), and District Administration Offices have severely impacted the overall production system of the brick industry, bank loans, worker employment, and the national economy.
The government, citing Section 20, Sub-section 10 of the Industrial Business Act 2076, based on the decision of the 243rd meeting of the Industrial and Investment Promotion Board, had brought in a rule that bricks cannot be fired until the end of Poush each year and work can only begin after January 1st. However, entrepreneurs allege that behind this decision is not environmental protection, but the personal interests of a few limited and powerful entrepreneurs of the Brick Industry Federation and the intention to maintain a syndicate.
Entrepreneur Anil Agarwal said that since the government has issued licenses for open competition, there should be no time restrictions in any business. ‘Some individuals, for their personal interests and to create a shortage in the market and sell at high prices, have colluded with the government to bring about such a decision. When the government is collecting environmental tax per metric ton on coal, there is no point in imposing a time limit and restriction,’ Agarwal said.
Agarwal accused the federation officials themselves of violating the federation’s decision by firing bricks before the deadline, while using the administration to stop other small and rule-abiding industries, showing a double standard. According to him, the price of bricks in the market has increased due to this government decision. ‘Bricks that used to cost 22-23 rupees per piece are now being sold by entrepreneurs for up to 28 rupees,’ Agarwal says, ‘The government is sleeping, there is no monitoring, and consumers are suffering.’
It is also claimed that some entrepreneurs are selling bricks at arbitrary prices without bills. ‘Honest entrepreneurs are selling goods with bills. But some are selling bricks without bills, evading millions in VAT,’ said one entrepreneur. ‘It is easy for them because the government is not monitoring.’
According to another entrepreneur, this decision was made by influencing the then government and high officials of the ministry. ‘This decision, not to allow brick firing until the end of Poush, was made by giving about 2 crore rupees to the ministers and secretaries of the previous government. The influential people in the federation have played a game of controlled production by making excuses of environment and smog, and maintaining a market syndicate,’ the entrepreneur alleged.
According to him, although the argument is that smog occurs when firing bricks in Poush and Mangsir, affecting small trees and the environment, the real reason is market control. ‘If production is high, costs decrease and bricks become cheaper; if production is low, costs increase and bricks become expensive. This scheme has been devised to reduce production to sell bricks at high prices to the general public,’ he said.
An official of the Brick Industry Federation stated, citing constitutional and legal principles established by the Supreme Court, that restricting the right to operate an industry must have a clear legal basis, proportionality, and a just cause. ‘If we are not allowed to fire bricks in Mangsir and Poush, then everyone should be stopped equally, otherwise, we should also be allowed to operate freely. Is it that some people light fires in Poush by influencing ministers and police administration, while those who follow the rules are left watching?’ he questioned. ‘We, about 40-50 entrepreneurs, have submitted a written application to the administration stating that either everyone should be punished, or we should be allowed to work freely.’
This government decision has created a major problem in the management of Indian and local laborers. Entrepreneurs say that it is not possible to employ laborers who come to work in brick kilns for only 3 months. With the monsoon approaching and rain starting in Falgun and Chaitra, entrepreneurs can only produce for about 2 to 3 months if they start work only from January 1st. In such a situation, many entrepreneurs are on the verge of migration due to their inability to pay interest on bank loans amounting to billions.
Environmentally, entrepreneurs claim that the smoke emitted from industries that have adopted modern technology is filtered before being released, so it does not cause as much pollution as traditional kilns. Entrepreneurs say that the government’s policy of imposing heavy taxes on coal imports while restricting production has demoralized domestic investors.
When and under whose tenure was the decision made?
The main source of the controversial decision to allow brick industry fires only after the end of Poush is the 243rd meeting of the Industrial and Investment Promotion Board held on November 16, 2081 (Bikram Sambat). The board meeting, chaired by Damodar Bhandari, then Minister of Industry, Commerce and Supplies and a leader of the then CPN-UML, decided to start brick firing only after the end of Poush, citing environmental pollution reduction and worker health as pretexts. Some entrepreneurs claim that this decision was made through ‘settings’ and inducements worth more than 2 crore rupees by influential and large businessmen through the then Minister Bhandari and high officials of the ministry.
Immediately after the board’s decision, circulars were sent from Singha Durbar to the district administrations. A letter was sent to the Ministry of Industry, Commerce and Supplies on November 27, 2081 (No. 114) under the signature of Anand Aryal, Chemical Engineer of the Department of Industry, for the implementation of the board’s decision of November 16. On November 28, 2081, a circular was sent to the Offices of the Chief Minister and Council of Ministers of all seven provinces of the country for the implementation of the decision.
Upon receiving the central directive, the Office of the Chief Minister and Council of Ministers of Koshi Province sent a letter to the Ministry of Industry, Agriculture and Cooperatives of the province on November 29, 2081. On the same day, the ministry directed all Cottage and Small Industry Offices of Koshi Province not to allow brick firing before the end of Poush.
Based on Section 20, Sub-section 10 of the Industrial Business Act issued in 2076 BS, and the decision made on November 16, 2081, during the tenure of then Minister Damodar Bhandari, the Cottage and Small Industry Offices have been sending reminder letters to brick entrepreneurs in the current fiscal year. However, the decision has not yet been fully implemented.
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