Tourism and Air Transport Committee's demand to recognize hotel business as tourism industry

KATHMANDU, Oct 01:The Federation of Nepalese Chambers of Commerce and Industry (FNCCI) Tourism and Air Transport Committee has demanded that the hotel industry be provided with the same service amenities as the industry.

Hemraj Dhakal, vice president of the FNCCI, and Deshbandhu Basnet (Ajit), chairman of the committee, and other businessmen, met with Industry Minister Ramesh Rijal and asked that the hotel industry be provided with the same service facilities as the industry.

Chairman Basnet, in presenting the memorandum to the Minister, requested that hoteliers invest large sums of money and create jobs for millions of people, as well as contribute to the country's GDP by earning foreign currency and classifying this sector as a national priority industry and recognizing it as a productive industry.

He stated that the hotel industry makes a significant contribution to the economy and the development of destinations. Basnet urged that the hotel business be listed as a national priority industry sector in the Industrial Business Act 2076, not just in tourism, but also with facilities comparable to the manufacturing industry.

He stated that the hotel will make a significant contribution to sustainable and green tourism. The committee has requested that the present Foreign participation and Technology Transfer Act 2075 be changed to allow foreign participation in the hotel industry.

According to the law, it is difficult to operate an international hotel resort in the country with the requirement that the royalty charge not exceed 5% of total sales. 

Industry Minister Ramesh Rijal promised to analyze the delegation's memorandum and take appropriate action to resolve the issue. He also directed the Secretary and Director General to prepare a report to aid in the resolution of the matter.