Hetauda textile industry set for revival; Army to begin trial production within two months

Kathmandu- The government has taken a significant step toward reviving the long-shuttered Hetauda Textile Industry, with the Nepal Army set to begin trial production within the next two months as part of a long-term plan to restore the state-owned factory to full operation.

A government-formed study committee has submitted its report to Minister for Industry, Commerce and Supplies Gauri Kumari Yadav, outlining both immediate and long-term strategies for reopening the industry. Although the report was formally handed over today, repair work on the factory’s machinery had already begun under the Nepal Army following budget approval from the Ministry of Finance.

The task force, led by Rambandhu Subedi, Chief of the Administration and Public Enterprises Division at the Ministry of Industry, presented a detailed roadmap covering progress made so far and the next phase of implementation.

According to the report, the Nepal Army has been directed to commence trial production within two months. Technical teams have already been deployed to the factory, where cleaning, machinery repairs, and preparations are being carried out at an accelerated pace.

The Ministry of Finance has released Rs. 3.3 million to the Nepal Army’s Directorate of Military Materials Production, enabling the initial repair and operational work to move forward.

The Army has also procured the raw materials required for trial production, while its technical team has started repairing the factory’s aging machinery.

For infrastructure rehabilitation, the Ministry of Physical Infrastructure has prepared a cost estimate of Rs. 5 million and has taken responsibility for repairing the factory buildings and related structures.

Meanwhile, electrical maintenance inside the factory has been completed by the Hetauda Industrial District Management Office, ensuring that the power system is ready for operation.

The report states that the existing machinery will be repaired and used for trial production. Based on the outcome of the trial phase, the government will prepare a Detailed Project Report (DPR) for the industry’s long-term operation, followed by the necessary legal and policy decisions.

Receiving the report, Minister Gauri Kumari Yadav said the government has placed the revival of the Hetauda Textile Industry a project of national importance among its top priorities. She reaffirmed the ministry’s commitment to ensuring coordination and support so that production begins within the stipulated timeframe in line with the task force’s recommendations.