Declining industry registrations in Baitadi as firms close over lack of facilities

Baitadi: Industry registrations in Baitadi have been steadily declining over the past three years, raising concerns about the district’s economic prospects.

According to the Cottage and Small Industries Office, 753 small and medium enterprises were registered during the period, but the number has dropped significantly each year. Registered industries include agriculture, forestry, flour mills, spices, and pickle production.

In fiscal year 2079/80, 427 industries were registered, while only 191 were recorded in 2080/81. The number further declined to 135 in 2081/82, said Information Officer Laxman Kumar Saud.

Similarly, in the commercial sector, 399 firms were registered over three years—163 in 2079/80, 173 in 2080/81, and just 63 in 2081/82.

While new registrations are falling, renewals continue. Registered industries must renew every five years, Saud explained. A total of 251 industries were renewed in 2079/80, 244 in 2080/81, and 393 in 2081/82. In the commercial sector alone, 1,122 businesses were renewed over the three years.

However, the number of deregistrations has also been rising. In the past three years, 202 industries and businesses have been canceled.

Cottage and Small Industries Office Chief Hemraj Bhatta attributed the decline to several factors, including increasing youth migration for foreign employment, lack of loan investment from banks and financial institutions, shortage of capital, and the need to register industries at the local level.

He further noted that many industries are registered merely to access government services, facilities, and grants, but are later canceled when such benefits do not materialize.

Over the past three years, the office has collected Rs 7,706,778 in revenue from registrations, renewals, and cancellations.