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Call for Regular Operation of Hetauda Cement Industry

Wednesday, April 15 2026

A demand has been raised to ensure the regular operation of the Hetauda Cement Industry, which has been repeatedly facing closures and resumptions due to financial constraints. With the government preparing to revive struggling public industries, stakeholders have emphasized the need for a long-term solution to sustain the factory.

SNP Prakash Gautam has prioritized resolving the issues and restoring full-capacity operation of the industry. He stated that he has been continuously engaging with both the federal government and the Bagmati Province government to ensure regular production.

“I have discussed with the Prime Minister and the Minister for Industry on how the factory can be operated regularly,” said MP Gautam. “Recently, I also held discussions with the Chief Minister of Bagmati Province. We have received positive responses from all sides.”

He added that consultations were also held with industry employees, who provided constructive suggestions. According to him, the industry could resume sustainable operation if political interference and internal corruption are controlled and a new management team is formed.

According to the industry administration, the factory operated only for five days in the current fiscal year 2082/83 BS, from Bhadra 19 to 24. During that period, approximately 2,500 tons of clinker and 30,000 sacks of cement were produced, said Acting General Manager Dr. Shivnarayan Sah.

Although clinker production resumed on Chaitra 13, it was halted again due to a shortage of raw materials. Despite a tender being issued for coal procurement, supply could not be secured because of outstanding payments. As a result, the industry is once again on the verge of shutdown.

“At present, production is running with available raw materials, but it is likely to stop within a day or two,” he said. “Even if production stops, employee salaries and regular operational costs continue, further worsening the financial situation.”

He added that the industry requires around 120 tons of coal daily for continuous operation, but procurement is not possible due to financial difficulties and pending coal payments.

The industry currently employs 166 permanent staff, 100 daily wage workers, and 52 security personnel, totaling 318 employees. It also faces outstanding electricity bills estimated at around NPR 300–400 million due to long-term non-payment.

Established in 1976 AD in Lamasure, Hetauda, the industry began cement production in 1983 AD. However, due to outdated machinery, technical issues, and financial crisis, it has been unable to operate at full capacity.

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