Government Warns Market Violators as Festival Rice Subsidies Stall

The Ministry of Industry, Commerce and Supplies has pledged to penalise market violators regardless of their size, even as promised festival price cuts for rice fail to reach consumers ahead of Dashain, Tihar, and Chhath. Speaking to a parliamentary committee, Minister Deepak Kumar Sah cited a recent Rs 300,000 fine on state-backed Salt Trading Corporation Limited as proof that neither public enterprises nor large firms will be spared during market monitoring.

The enforcement push follows broken commitments by the Nepal Rice, Oil and Flour Mills Association to reduce rice prices by Rs 75 to Rs 200 per 25-kilogram sack. Although millers promised discounts after transport routes reopened, the Department of Commerce, Supplies and Consumer Protection found during monitoring that retail rates remain unchanged.

Supply chain actors disagree over the bottleneck. Processors claim older, expensive inventory must sell out before new rates apply, while mill representative Vibhor Agrawal stated factory rates were already reduced. However, Nepal Retailers Association President Pavitra Bajracharya disputed this, stating wholesalers still charge neighborhood grocers full price.