CHITWAN, Nepal
Jewelers in Chitwan have audaciously declared that 85 percent of the gold comes through black marketing and challenged the state to investigate and take action if it can at a time when there have been widespread accusations of black marketing in bullion trade.
Organizing a press conference in Narayangadh they claimed that they are forced to buy gold from the black market due to the imposition of quota system in gold by the state. “The government is giving less gold imposing the quota system. It is natural for black marketing to rise in scarcity,” reasoned central member of the Nepal Gold and Silver Dealers’ Association Arjun Rasaily. The jewelers even reached the district administration office and submitted a memorandum to the government.
The Gold and Silver Dealers’ Association, Chitwan revealed that Chitwan gets just two kilograms of gold a day through the quota system while the daily demand is seven kilograms. The entrepreneurs are still selling gold to the customers. “85 percent of gold comes from the black market and even the government knows that,” was Rasaily’s straightforward answer to the journalists question as to where the rest of the gold comes from. President of the association in Chitwan Bipin Ramudamu went further and accused the government of encouraging the entrepreneurs to indulge in black marketing. “Not giving gold is tantamount to asking one to do black marketing. Why would one buy gold from outside if adequate quantity is to come legally?” he argued.
The entrepreneurs cannot freely buy gold now with the government imposing a national quota of 15 kilograms a day. There is a huge demand of the yellow metal now due to the wedding season. Stating that the entrepreneurs have to pay Rs 2,000- 3,000 more in purchase of every kilogram of gold from commercial banks according to the quota system, they have asked the government to make arrangements to ensure that every entrepreneur can easily get up to 100 grams of gold a day. “Black marketing will not stop if that is not done and the state must pay attention to it,” central member of the association Gyanendra Man Shakya said.
The association sent a memorandum including these demands to the government through the district administration office. They also demanded modern equipment for measuring the quality of gold and fixing the standards for measuring it, establishment of a body for measuring weight and quality in Chitwan, and security for the entrepreneurs. Ramdamu said a meeting of the presidents of the district chapters across the country has been called in Chitwan on Wednesday for discussions on the problems in their trade. “We will decide how to move forward in the coming days in that meeting. The remaining protest programs will also be decided,” he added. The entrepreneurs already have threatened to shut down all the jewelry stores if their demands are not met by Wednesday. “No jewelry stores will open from Thursday if our demands are not fulfilled,” Rasaily said.
Jewelers in Chitwan have audaciously declared that 85 percent of the gold comes through black marketing and challenged the state to investigate and take action if it can at a time when there have been widespread accusations of black marketing in bullion trade.
Organizing a press conference in Narayangadh they claimed that they are forced to buy gold from the black market due to the imposition of quota system in gold by the state. “The government is giving less gold imposing the quota system. It is natural for black marketing to rise in scarcity,” reasoned central member of the Nepal Gold and Silver Dealers’ Association Arjun Rasaily. The jewelers even reached the district administration office and submitted a memorandum to the government.
The Gold and Silver Dealers’ Association, Chitwan revealed that Chitwan gets just two kilograms of gold a day through the quota system while the daily demand is seven kilograms. The entrepreneurs are still selling gold to the customers. “85 percent of gold comes from the black market and even the government knows that,” was Rasaily’s straightforward answer to the journalists question as to where the rest of the gold comes from. President of the association in Chitwan Bipin Ramudamu went further and accused the government of encouraging the entrepreneurs to indulge in black marketing. “Not giving gold is tantamount to asking one to do black marketing. Why would one buy gold from outside if adequate quantity is to come legally?” he argued.
The entrepreneurs cannot freely buy gold now with the government imposing a national quota of 15 kilograms a day. There is a huge demand of the yellow metal now due to the wedding season. Stating that the entrepreneurs have to pay Rs 2,000- 3,000 more in purchase of every kilogram of gold from commercial banks according to the quota system, they have asked the government to make arrangements to ensure that every entrepreneur can easily get up to 100 grams of gold a day. “Black marketing will not stop if that is not done and the state must pay attention to it,” central member of the association Gyanendra Man Shakya said.
The association sent a memorandum including these demands to the government through the district administration office. They also demanded modern equipment for measuring the quality of gold and fixing the standards for measuring it, establishment of a body for measuring weight and quality in Chitwan, and security for the entrepreneurs. Ramdamu said a meeting of the presidents of the district chapters across the country has been called in Chitwan on Wednesday for discussions on the problems in their trade. “We will decide how to move forward in the coming days in that meeting. The remaining protest programs will also be decided,” he added. The entrepreneurs already have threatened to shut down all the jewelry stores if their demands are not met by Wednesday. “No jewelry stores will open from Thursday if our demands are not fulfilled,” Rasaily said.
Source: Karobar Daily, 30th April 2013
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