India’s potato-onion (Potato onion crisis in Nepal) are being sold at very expensive prices in Nepal these days. According to Indian currency in Nepal (Janakpur), potatoes are being sold at Rs.25 to 30 and onions at Rs.40 per kg. Its direct impact is being felt from everyday life to hotels as well. Due to the high prices of potatoes and onions, vegetables have disappeared from the plates of Nepalis. Or have become less than before. Samosas or vegetables made of potato and onion have become very expensive at hotels and dhabas. Traders of Nepal said that the government has imposed 13 percent Value Added Tax (VAT) on these products last month. After which they have stopped importing them. Now the opposition member in Nepal has attacked the government on this issue and is calling this decision of the government as an anti-people deal.
tax on potato and onion
These days new orders are being issued continuously between India and Nepal from commercial, strategic and diplomatic point of view. This is having a direct impact on the common people of both the countries. The matter of devaluation of India’s currency in Nepal has just caught fire, so due to the new rule of Bhansar in Nepal, the market of border areas of both the countries is in recession. Now the effect of Nepal Government’s imposition of new tax on potatoes and onions being sent from India has started coming to the fore. These days the price of potato and onion is skyrocketing in Nepal. According to the information, the Government of Nepal presented its Union Budget on 29th June. In this, 13 percent VAT has been imposed on potato and onion. Apart from this, advance tax and Bhansar tax are also included. This situation has happened due to imposition of total tax of 27 percent on potato and onion.
Nepal is dependent on India’s potatoes and onions
Nepal has been mainly dependent on potatoes and onions from India for years. The people of this place like potatoes and onions more. Or simply say that the way Indians are fond of potatoes and onions, so are Nepali citizens. In the recent few days, due to the sourness in the relations, the taste of potato and onion is also decreasing.
smuggling on a large scale
Due to imposition of tax on potato and onion, on one hand it is proving costly for Nepali people to buy potato and onion, on the other hand smuggling of potato and onion from India is now happening on a large scale. Smugglers are fiercely smuggling potatoes and onions from the direct route to the footpaths. Deepak Kumar, a textile trader from Janakpur market, says that there has been a lot of ups and downs in the market in recent times. Due to the devaluation of the rupee, now there is a shortage of Indian customers in the shops here.
Nepali markets seem deserted. On the other hand, now the price of potato and onion is also skyrocketing. Janakpur market mainly depends on the customers coming from India. When the pilgrims coming from India come to know that now the price of Indian currency is less, then they refrain from buying it. Similarly, hotel owner Gaudishankar says that a large number of Indians who are fond of meat and fish come here. The hotel business has also slowed down due to the increase in the prices of potatoes and onions.
Potato-onion goes through Raxaul, Sirha and Bhitthamod
Raxaul, Sirha and Bhitthamod are the main routes of potato and onion going from India to Nepal. There is a big Bhansar office here. Apart from this, there is not a single Bhansar office touching Madhubani district, from where people can take potatoes and onions for business. In such a situation, if even a sack of potato is taken from here to Nepal, then it is directly considered smuggling. This is happening indiscriminately these days.
