The Hetauda industrial area has been facing challenge in operation due to declining state of sale of goods produced by industries.

Due to crisis of raw materials, cost increment and bank interest rates, the production of these industries has been limited to 40 percent.

At present, 115 industries are operating in the industrial area.

According to the Industrial Area Management Office, these industries are currently operating at 40 percent capacity.

Industries operating in three shifts now are limited to only one shift. Workers and employees have been cut off with the decreasing capacity of the industries.

According to office chief Bhojraj Biradi, the economic slowdown after the COVID pandemic has affected entire industries here.

A process has started for canceling the contracts of two dozen industries that remained defunct due to the economic slowdown.

Biradi said only the work of signing the agreement and occupying the land was done, but the process of action has been forwarded as the industry is not operating.

Cases have also been filed against the office at the District Court for cancelling the contracts of some industries, he said. Of the 147 industries established in the industrial sector, 115 are manufacturing industries of different nature. Nine industries have been closed and 23 are under construction.

Industrialists complained that it is difficult to pay rent as the condition of the industry is pathetic. According to the office-bearers of the Chamber of Commerce and Industry, the situation of the industries has become fragile due to high cost of goods produced by the industries operating here, non-sale of the products produced and the economic slowdown.