The revenue of major Indian multinationals in Nepal has nosedived following the blockade of key border trade points with India by Indian-origin Madhesis protesting over the country’s new Constitution.
Subsidiaries of Indian MNCs – such as Dabur, Unilever and ITC India – have been operating much below their capacity in the past three months dominated by protests from the agitating Madhesi community.
The companies are also facing depletion of stocks and struggling to export their products.
Dabur, Unilever and ITC India were among the first Indian multinationals that set up their plants in Nepal after the country opted for economic liberalisation in the 90s.
Most of the industries in the southern plains, especially in the Morang-Sunsari and Bara-Parsa industrial corridors, have been affected by the protests, the report said.
Dabur on Thursday informed the BSE that its juice sales are likely to dip 10-15 per cent in October-November due to disruption of supplies from its plant in Nepal.