Arson during violence in Nepal
Violence is still going on in Nepal. Many parts of the country, especially the capital Kathmandu, are seeing sporadic incidents. The army has controlled the entire country. After this, some situations have improved. The impact of this violence seems to be directly on business. The production of major FMCG companies Dabur and Britannia has been affected.
In view of the violence, Britannia has stopped production, while the production of Dabur has been partially affected. Citing the safety of employees, companies have stopped functioning for the present. Given the presence of FMCG companies in Nepal, this unrest can also affect demand.
Britannia Industries stopped production in Nepal
In view of the ongoing violence in Nepal, Britannia Industries has stopped its production. The reason behind this is the company cited the safety of its employees. Britannia Industries plant is in Baran district of Nepal. The company said that our priority is the safety of its employees. For this, we have taken a decision in view of the current situation.
The company, owner of brands like Good Day, Mary Gold and Tiger, said, “We are also grateful to the local army who intervened and have increased confidence in security in employees.”
Dabur India production stalled
Production has come to a standstill at the Dabur plant located in Birganj, Nepal. The company said that due to violence, many employees are not able to reach the plant. Due to this, the work has been badly affected. Nepal contributes about 3% to the total sales of Dabur.
The company said, “We are keeping a close watch on the changing situation in Nepal. We have asked all the employees to work from home in Kathmandu and the sales teams have also been advised to prioritize security and follow the local curfew instructions.”
Army took command after violence
Due to violence in Nepal, there has been a ruckus everywhere. The protesters targeted the leaders’ homes and their government houses. Along with this, the Parliament of the country was also set on fire. So far, many people have been killed in violence. After the incidents of arson and sabotage, the army took command of security since Tuesday night. Since then, the situation has been cured to some extent. However, army is deployed in every area.
Bangladesh was also affected due to Bangladesh
Like Nepal, a year ago, Indian FMCG companies faced a similar situation in Bangladesh when the Sheikh Hasina government had to be out of power due to student unrest. Companies like Emami have reported affecting their business. Indian FMCG companies like Dabur, Britannia, Marico, Patanjali, ITC and Reliance Consumer are present in Nepal. Most of these work through their local distributors or partnerships.