As per its plan to establish one industrial area in each province, the government has proposed to develop an industrial area in Motipur of Rupandehi district with a provision for 150 new factories. A preliminary detailed project report (DPR) suggests 150 medium and large factories can be established in Motipur. The report has proposed separate buildings for such factories inside the industrial zone.

Tul Bahadur Ran Chettri, local inspector and chief of Butwal Industrial Area, said the facility would be built on 814 biggas of land across the banks of Tinau River. “We have completed measurement of land,” said Chettri. “The base test of soil is also complete which shows it was suitable to build infrastructure for large factories.” The report estimates the development of the industrial area will cost Rs 5billion.

The study on environmental impact assessment is under way which is expected to be completed in six months.

Embankments must be built on both sides of the river to develop the industrial area which will require a separate study, according to Nanda Kishore Basnet, chairman and general manager of Industrial Districts Management Limited (IDM)—the agency looks after the entire industrial areas in the country.  

The proposed project, however, will exclude densely populated section of the area as requested by local people representatives and other stakeholders in the region. They have suggested the IDM build the industrial area in the sparsely populated section of the region. As per the preliminary DPR, around 150 biggas of land that has been measured lies in densely populated area with around 700 homes.

Shiva Raj Subedi, deputy mayor of Butwal Municipality, said the proposed industrial area would be developed only after the families by the project are resettled. “We need industrial area as well as our houses,” said Subedi, adding that the project would hold discussion with the local representatives before making any decision on the land acquisition. 

The Butwal Chamber of Commerce and Industry had initiated the process of developing an industrial estate on 240 bighas of land in Motipur about 14 years ago.

Subsequently, the government decided to expand the size of the proposed industrial estate to develop it as a provincial level industrial zone. Motipur falls under Province 5. Rupandehi has emerged as a major economic hub, but the region’s only industrial zone—Butwal Industrial Estate—has run out of space to establish new factories.