In order to improve the business environment, the government has removed the provision of profit and action placed in the black market and some other social crimes and punishments act 2032. This provision has been removed through the Ordinance brought by the Council of Ministers meeting on Friday to amend some Nepal Acts related to improvement of economic and business environment and promotion of investment.

According to the law, no businessman can take more than 20 percent profit in general according to the goods and business practice. Taking more profit automatically attracts the Black Market Act. And, for the crime of black market, the businessman can be imprisoned for 5 years or fined or both. But the government has removed this arrangement through an ordinance to benefit businessmen. 

'Sub-section (1) of Section 3 of the Black Market and Certain Other Social Crimes and Punishments Act, 2032 has been deleted,' the Ordinance says, 'instead of the words 'according to Sub-section (1) in Sub-section (2)', 'according to prevailing law' The words are kept.' 

With President Ramchandra Paudel issuing an ordinance on Monday, businessmen can now keep their own profits. Experts say that even if it benefits the related industrialists, it will not be in the interest of the general public. Since the past, the businessmen have been pressing for the repeal of the Black Market Act, the removal of profit percentage or scope of action. In their own interest, the government removed such an arrangement through an ordinance," said a joint secretary of the Ministry of Industry, Commerce and Supply, "If only they could take as much profit as they can now in the name of open competitive market." 

is an open competitive market and can be controlled by the Competition Promotion and Market Protection Act 2063. But the joint secretary claims that the law is also useless. A board under the coordination of the secretary should be formed to control and intervene in the market. But the board has not been formed yet. 

President of Consumer Interest Protection Forum Nepal Jyoti Baniyan says that the government has misused the executive power by removing the provision in the Black Market Act. He says that in the name of competition, it will only make the market unstable. "The government has misused the executive power by canceling the system that cannot take more than 20 percent of the customs and factory value," Banian said. 

Despite the provisions of the Black Market Act, the market was safe for consumers. Baniyan said that even though they are unhappy about doing business with wrong intentions, industrial traders who operate a clean market are happy with this legal arrangement.

Lately, the demand of 3 umbrella organizations of industrial traders was that the Black Market Act and this section should be repealed. Baniyan said that the current government has fulfilled that demand. All over the world, black market is considered a serious crime against consumers and the market. It was also considered a crime in Nepal since 2032. But now it has been canceled by the ordinance," Banian said. 

The Black Market Act has been implemented by the Police Administration and Chief District Officer. In every district this mechanism has done some effective work. Now there is no black market. The decision has been made in the interest of those who create black market and artificial scarcity," said Madhav Timilsina, president of the Consumer Rights Research Forum, "This is another crime committed against the common people by deceiving the Parliament." But for that the regulatory body should be strong. This will benefit both consumers and businesses. But when the regulatory body is not strong, black market 'cartelizing' businessmen are encouraged. In the case of Nepal, the regulatory body is not effective.