Delay in renewal of ISI mark affects cement exports

By Our Correspondent,Lumbini, Jan.11: The export of Nepali cement has been halted after the Bureau of Indian Standards (BIS) of the government of India did not renew the quality-related Indian Standards Institute (ISI) certificate.

"We applied for renewal three months in advance before the deadline. However, the BIS of India has neither renewed it nor has explained the reason. All our efforts did not work. Now, the government needs to take the initiative in this regard," said Raunak Agrawal, Managing Director of Balaji Cement Industries Pvt. Ltd.

Agrawal said that Nepali cement had a good market in India, but the lack of renewal had affected exports and added problems to the industries.

The export of cement manufactured by Samrant Cement Industries, which was being exported to India through the Krishnanagar border post, has also been halted due to the lack of ISI renewal. 

Similarly, the export of the cement of Arghakhanchi Cement Limited, based in Rupandehi, has also come to a standstill. The export of the Arghakhanchi cement of the industry has been stopped since September 25, 2024. The Arghakhanchi Cement Industries had exported cement worth about Rs. 550 million in two years.

According to Krishna Prasad Pandey, Deputy General Manager of Arghakhanchi Cement, exports of their cement have been halted due to a lack of renewal. 

He said that the government should take immediate steps to create a conducive environment by renewing them. 

Although India renewed the ISI mark in previous years, this year it has not renewed ISI of any industry whose ISI certificate expired.

Currently, Ghorahi Cement is exporting cement to India through Krishnanagar border, Palpa and Sarbottam Cement through Belhiya border in Rupandehi. 

However, the ISI mark renewal period of these industries is also expiring within a few months. 

According to industrialists, if India does not renew the ISI certificate, the export of cement of most industries will stop after some time.

After India granted quality trade mark and import permission, cement worth Rs. 310 million was exported from the Bhairahawa border in the fiscal year 2022/23 and Rs. 1.65 billion in the fiscal year 2023/24.

Similarly, during the five months of the current fiscal year, about 259,721 tonnes of cement worth Rs. 434 million have been exported to India.

Recently, the consumption of cement in Nepal has been low. At this time, industrialists have become more disappointed when India has not renewed the ISI certificate.

The Bureau of Indian Standards (BIS) of the government of India had granted permission to some cement industries for two years and some for one year.

Industrialists have urged the government to take diplomatic initiatives with India and immediately arrange for the renewal of the ISI. 

When cement made from the limestone quarried from Nepal's Chure mountains was exported to India, it supported the country's economy along with the industrialists. 

Industrialists are concerned that the recent halt in exports will further hit the private sector. 

According to Bhairahawa Customs Office, cement and cement clinker are among the top 10 items exported to India via Belahiya. 

However, the exports are gradually decreasing as some industries have stopped exporting in recent months. 

Ram Prasad Regmi, Chief of Bhairahawa Customs Office, said that it is unfortunate that the exports of products of industries that were exporting in the past have stopped and that everyone's initiative is necessary in this regard.