A team led by Minister for Industry, Commerce and Supplies, Damodar Bhandari, recently inspected the Dhaubadi Iron Mine located in Hupsekot, Nawalparasi East (Nawalpur).

The inspection team included Gandaki Provincial Assembly member Roshan Gaha, Provincial member Laxman Pandey, former MP Tilak Mahat, Constituent Assembly member Jeevan Shrestha, District Coordination Committee chief Baburam Bishwakarma, Deputy Chief Shakuntala Lamsal, representatives from Dhaubadi Iron Mine Company, Hupsekot Village Municipality chairman Laxmi Pandey, and Binayi Triveni Rural Municipality chairman Ghanashyam Giri.

Speaking to the media after the inspection, Minister Bhandari highlighted the need for collaboration between the government and the private sector in operating the Dhaubadi Iron Industry. He proposed the public-private partnership (PPP) model for Dhaubadi Iron and Steel, noting that government processes tend to be slow.

“After discussions with both government and private stakeholders, we have concluded that reducing the government’s 55 per cent share and increasing private sector participation may make the project more attractive,” said Minister Bhandari.

He also mentioned that the issue of operating the iron industry had been raised as a priority at the Third Investment Summit. He suggested that the industry could be operational much more swiftly if the private sector was involved.

The minister highlighted that the cost of operating the iron industry is approximately Rs. 52 billion, a sum the government is not currently in a position to invest. As a result, the government plans to begin operations through a new modality by inviting both internal and external investors.

Iron ore deposits were discovered in the Pokhari, Durulanga, and Dhaubadi areas of Hupsekot Rural Municipality-5 in 2011.

The iron ore is spread across an area of approximately 41 square kilometres, with an estimated daily production of 1,500 tons. The government formed Dhaubadi Iron Mine Limited in 2021 to manage the operation, with plans to begin commercial production by 2028.

By Gyanu Pangeni