Business Registration Process
1. Company Formation
- Recommended Structure: Private Limited Company
- Minimum Capital: NPR 500,000
- Registration Authority: Office of Company Registrar (OCR)
2. Required Documents
| Document | Specifications |
|---|---|
| MOA/AOA | Must include packaging activities |
| PAN of Directors | Clear photocopies |
| Company Address Proof | Rental/ownership documents |
| Industry Registration | From Department of Industry |
Specialized Licenses & Approvals
Mandatory Certifications
| License | Issuing Authority | Validity | Fee (NPR) |
|---|---|---|---|
| Food Grade Packaging License | Department of Food Technology | 3 years | 25,000 |
| Plastic Packaging Approval | Ministry of Forests | 1 year | 50,000 |
| Environmental Clearance | Ministry of Environment | Project-based | 15,000+ |
Factory Setup Requirements
Location Considerations
✔ Industrial zones (for tax benefits)
✔ Proximity to raw material sources
✔ Adequate water/electricity supply
Infrastructure Standards
- GMP-certified production facility
- Waste management system
- Quality control lab
- Fire safety compliance
Equipment & Technology
Essential Machinery
- Printing machines (flexo/offset)
- Blow molding machines (for plastic)
- Corrugation machines (for boxes)
- Sealing/packaging machines
Investment Range
| Scale | Equipment Cost (NPR) |
|---|---|
| Small | 2,000,000 – 5,000,000 |
| Medium | 5,000,000 – 20,000,000 |
| Large | 20,000,000+ |
Raw Material Procurement
Common Materials Used
- Paper/Board (Local suppliers available)
- Plastic Granules (Mostly imported)
- Aluminum Foil (Import-dependent)
- Inks & Adhesives (Local/imported options)
Market Opportunities
Growing Sectors Needing Packaging
✔ Dairy industry expansion
✔ Pharmaceutical growth
✔ E-commerce packaging
✔ Export-oriented goods
Compliance Requirements
Ongoing Obligations
✔ Quarterly VAT filing (if registered)
✔ Annual environmental audit
✔ Renewal of operational licenses
✔ Staff safety training programs
FAQs About Packaging Business
1. Can foreigners start packaging business?
→ Yes, but needs 51% Nepali ownership (except in SEZs)
2. Is recycling facility mandatory?
→ Yes for plastic packaging companies
3. How to get export certification?
→ Through Nepal Bureau of Standards & Metrology
4. What’s the penalty for non-compliance?
→ Up to NPR 500,000 fine + shutdown
5. Are there subsidies available?
→ Yes, 25% on recycling equipment (through MOICS)
Pro Tips for Success
✔ Start with niche packaging (biodegradable materials)
✔ Obtain ISO 9001 certification
✔ Partner with FMCG companies early
✔ Invest in digital printing technology
Need Help? Contact:
- Department of Industry: ☎ 01-5970037
- Packaging Association Nepal: ☎ 01-4260521
💡 Wrap up success with proper business registration! 📦
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