Construction During Lockdown In Nepal

By Author: Tansen Cement
Total Articles: 13
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As Nepal starts to return back to normalcy following all the Covid restrictions, the construction sector has started coming back to life. One of the major reasons for this late start was that the monsoon season halted most of the big construction projects.

Even before the latest government announcement, the construction sector has been partially open since May 6. According to the decision made by the Cabinet, they have decided to allow projects and industries that produce construction materials such as cement and iron and steel to resume production.

Nepal’s construction sector has witnessed significant growth for two consecutive years following the reconstruction drive after the devastation left by the2015 earthquake. According to the Central Bureau of Statistics, the annual output of the construction sector has risen to over Rs 232 billion in the 2018–2019 fiscal year.

The coronavirus outbreak, however, has put the brakes on this industry from gaining any momentum. Thousands of jobs were halted, material supplies stopped and workers came to a virtual standstill waiting for all of this to pass over. ...
... The machinery remained idle collecting dust at the various construction sites.

Due to the mass migration of the workers, demand for construction material saw a heavy decline. This along with a shortage of raw materials made way for many factories to shut down in its lieu. Some of these factories still remain closed allowing for the disruption of the supply chain.

The story is eerily similar in the case of cement factory in Nepal. Most of the factories are operating at 20% of their usual capacity. The turnover of the cement industry is also reported to be around Rs 600 million every day.

As such, the construction sector is rightfully worried that if the situation does not improve soon, it will not only impact the government’s revenue but also reduce the overall consumption of such goods and services.

The faster the government manages to procure and pay, the faster will be the recovery of the sector and the faster will the money end up in the hands of the construction workers who need it the most. The projects that can be operated while making sure that health and safety protocols are followed to a tee should be allowed to resume.

The industry needs the support of the government and local authorities to spring this industry back in motion. The demand for policy response and information is mounting and responding to these demands is the first step towards jump-starting the economy.

Tansen cement is proud to product the best OPC Cement in Nepal.