ntrepreneurs in Nepal’s fruit-based wine industry have called on the government to introduce special tax concessions to protect domestic production. During a press conference organized by Basantapur Tinjure Pvt. Ltd., they demanded an 80% excise duty waiver on kiwi-based wine.

According to industry representatives, current tax policies have put their investments at risk. The company, operating for the past nine years in Mahalaxmi Municipality of Dhankuta, sources kiwi from farmers across districts including Ilam, Panchthar, Terhathum, Sankhuwasabha, Bhojpur, Khotang, and Dhankuta.

Previously, the fiscal year 2016/17 budget had provided an 80% excise duty waiver on fruit-based alcoholic beverages with 12–17% alcohol content. However, the removal of this facility in 2018 has adversely affected domestic industries.

Chairman Durgamani Paudel stated that equal tax rates on domestic and imported wine have made it difficult for local producers to compete. He warned that policy inequality could lead to displacement of domestic products.

He explained that producing one liter of kiwi wine costs up to NPR 921, including excise duty, raw materials, bottles, labor, and 13% VAT. Additional costs such as transportation and bank interest further increase the burden.

The industry has urged the government to reduce excise duty by 80% in the upcoming budget, setting it at NPR 120 per liter. They highlighted that thousands of farmers are directly and indirectly dependent on the industry. Currently, kiwi farming is carried out on 500 ropani of land involving 65 households.

Since kiwi plants take about five years to yield fruit and can produce for up to 50 years, the investment is long-term. Industry leaders stressed that without government support, farmers may not receive fair prices, putting their investments at risk.

The company is also preparing to launch its kiwi wine under the brand “Tindhure Bagan.” They believe promoting fruit-based domestic industries can boost local employment, utilize unused land, and reduce imports