Laxmi Capital News
FNCCI backs govt decision to end transport cartels

TheFederation of Nepalese Chambers of Commerce and Industry (FNCCI) has extendedits support to the government's move to disband transport cartels across thecountry. 

Issuing a press statement on Thursday, the umbrellaorganization of business enterprises across the country welcomed the decisionof the government, saying that they had long been demanding an end to all formsof syndication and cartelling.

Earlier this week, a cabinet meeting had decided not toregister and renew the registrations of all organizations or institutionsaffiliated to public transport through the District Administration Offices(DAOs). “FNCCI has been continuously putting forth its views that the practiceof syndicate, cartel and rotation system is in no circumstances justifiable andappropriate in a country that has embraced open market policy,” said thestatement.

The FNCCI said it had even moved court against theanomalies existing in the country's transport sector in the past. “The FNCCIhas a demand that the practice of syndicate, cartel and rotation system imposedeven in cargo transport sector be stopped,” the statement further said. 

The FNCCI has also urged the transport associations torevoke their decisions to launch transport strike and other forms of protests.
 
The call by the FNCCI comes amid five national federations of transportentrepreneurs jointly announcing a series of protests including a nationwidestrike against the government decision to end cartels.
 
The transport federations unveiled their protest plan a day after thegovernment decision not to renew the registrations of transport committees,effectively ending their legitimacy. A few weeks ago, the government had also revisedand amended the Transport Management Directive 2004, forcing transportentrepreneurs to come under Company Act instead of through recommendations oftransport committees.

Source : My Republica, 20thApril 2018

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