News

Nepal: Kathmandu Valley faces shortage of potatoes and onions after traders halt supply

Fresh Common Potato
Fresh Onion
Nepal
Regulation & Compliances
Market & Price Trends
Published Dec 8, 2023

Tridge summary

Traders in Kathmandu are protesting the government's decision to impose a 13% VAT on imported potatoes, onions, and other vegetables, leading to a shortage of these items in the market. The Potato Onion Traders Association has stopped supplying these products and warned retailers of fines up to Rs 100,000 for selling them. The government's decision to tax these essential food items has led to protests, and the Ministry of Agriculture and Livestock Development is working to address the traders' concerns by distinguishing between locally produced and imported items for tax purposes.
Disclaimer: The above summary was generated by a state-of-the-art LLM model and is intended for informational purposes only. It is recommended that readers refer to the original article for more context.

Original content

Traders launch protest against the government’s decision to impose VAT on these agricultural products KATHMANDU, Dec 7: A shortage of potatoes and onions has started to appear after traders stopped selling the vegetables in the Kathmandu Valley, citing the government’s decision to impose value added tax (VAT) on these agricultural products. Ramchandra Sedhai, a vegetable seller at the Dhumbarahi Vegetable Market, said they are unable to sell these agricultural products after the Potato Onion Traders Association (POTA) stopped supplying the products to retailers. “The Association has warned to slap fines of up to Rs 100,000 if any retailer is found selling the products,” Sedhai said. Potatoes and onions were previously untaxed. The government through the budget for this fiscal year announced to levy VAT on these daily essentials. “It is not fair that the government adds up the burden of tax on these products which are largely consumed in Nepali kitchens,” Sedhai said. Potatoes, ...
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