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THESIS ABSTRACT

Issues in Existing Industrial District and Challenges in Establishment of New Industrial District in Nepal

Issues in Existing Industrial District and Challenges in Establishment of New Industrial District in Nepal

Student: Prakash Adhikari

Supervisor: Er. Angishor Shrestha

Submitted Date: March, 2023

Abstract

Industrial sector plays a pivotal role in the development of a country's infrastructure and economic growth. The successful operation of the industrial sector can attract domestic and foreign investors and increase investment in the industrial sector as well as become a model of industrial sector management. The concept of industrial district is very old and gaining popularity among industrialists and studies about issues on existing IDs and challenges to establishment of new IDs, existing ten industrial district as well as declared and non declared IDs projects by Nepal Government are carried out for the study propose .The objective of the research is to identify the current issues in existing industrial districts, to identify the challenges for the establishment of new Industrial Districts in Nepal and to identify the probable suggestions for effective establishment of new industrial district in Nepal. The questionnaire were prepared and data regarding the industrial development obtained with the concern stakeholders (Industrialists, IDML staff, Industrial association member, MOICS representative) involved in the field of industrial establishment, operation and policy levels to facilitate the industrial activities within the country. A structured questionnaire was prepared and distributed to 96 respondents that comprises of Industrialists, IDML staff ,Industrial association members, MOICS representative at their own place. All responses were obtained, which is also include 100% of the total respondents (considering non responsive rate of respondents). KII was done to collect primary data. The data were collected using questionnaire survey, analyzed using RII,AHP, SPSS, MS Excel and presented using the graph, table, and pie charts. The findings of the study shows that industrialists are not satisfied towards the existing systems while operating their industrial activities inside the existing industrial district in Nepal. It has been found that the majority of the respondents have face the technical issues on water supply system of existing industrial district as performance assessment, reliable source and billing system of water supply inside existing IDs. Similarly issues related to the transportation system as not clear road related norms, guidelines and specification, road safety measures, road width for vehicular movements inside IDs. Issues related to the scientific land lease rate and increment pattern as per agreement. Issues related to the industrial building infrastructure i.e. not clear building related norms, guidelines and vii specification, functionality of building structure. It has been found that the majority of the respondents have face the social issues as conflict between nearby households in the issue of air pollution and noise pollution from existing IDs. It has been found that the respondents have face the policy issues as weak budgetary system towards existing IDs infrastructure on road and building structures. In this study, the major challenges for establishment of new IDs are technical , political and policy challenges. Similarly, lack of institutional memory/ documents related to existing IDs development model for reference, lack of separate technical norms ,specification ,bylaws for construction works related to IDs Infrastructure on technical sector cause the challenges to establish the new IDs in Nepal. Political interference during declaration of new IDs, resettlement of slum and squatters from sites of declared new IDs on political sector cause the challenges to establish the new IDs in Nepal. Lack of clear investment policy of country towards IDs, lack of clear policy for subsidy to industry established in new IDs, lack of properly stated policy for development model ,operation and maintenance of new IDs on policy sector cause the challenges to establish the new IDs in Nepal. To overcome those challenges conduct need assessment for the requirement of IDs, acquired land with less environmental and social issues, create the environment for the proper co- ordination between three level Government, fixation of investment and development model (PPP, Self by Government, Bilateral Agencies). Also attract to private sector development of new IDs.

Keywords

AHP, Bylaws, Establishment, Government, Industrial District, Issues, Need Assessment, Operation and Maintenance.