Kathmandu, Nepal May 26, 2020: Dairy entrepreneurs have demanded a relief packages from the government through the upcoming budget for fiscal year 2020/21 to recover their losses during the lockdown imposed to contain the spreading fear of coronavirus (COVID-19).
Issuing a press statement on Monday, the Nepal Dairy Association (NDA) has demanded at least concessional loans to recover their loss of about Rs 5 billion incurred during the lockdown.
It is said that the sales of the dairy products have dropped by 80 percent due to the lockdown imposed by the government.
According to the NDA, dairy products like butter and skim milk powder worth Rs 5 billion in store for consumption during the season will expire in the next five months for additional losses of Rs 5 billion.
In the statement issued by Pralhad Dahal, general secretary of NDA, increase of loan terms and lowering down of the interest on loans for the lockdown period is demanded as of the recovery package to the victims of the lockdown.
Likewise, the NDA has also raised the issue of exempting of 50 percent of the electricity bill and VAT if any dairy enterprise has not received a concessional loan. Conversion of any loan into concessional loan is also demanded as of the relief package through the budget.
It is said that about 50,000 farmers are associated with the dairy industry, while more than 20,000 people are employed by dairy enterprises.