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Chinese project displaces locals in Jhapa

Dhiraj Paudel by Dhiraj Paudel
June 13, 2024
in Auto, Featured-news, News, Society
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Chinese project displaces locals in Jhapa
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Kathmandu, June 13: Chinese investment has expanded its dominance in the Nepali market, winning many big project contracts. The dominance of Chinese companies is increasing in roads, airports, hydropower projects, industrial areas, etc.

One such project is ‘Damak Clean Industrial Park’ at Damak in Jhapa. The then Prime Minister KP Sharma Oli accepted the ambitious project proposal of the Chinese team to build a park in an area of ​​2,100 bighas bordering Damak Municipality, Gauradaha Municipality and Kamal Rural Municipality. Jhapa is Oli’s home district.

But this project has increased the concern of increasing poverty rather than prosperity. If the project is implemented, it will be dominated by the involving Chinese businesspersons for years. The Chinese companies involved will benefit from the project but the local Nepali people will be left landless squatters.

The local residents are protesting the land acquisition and the agreement for the project as some of them have been reportedly deprived of compensation, and there is a case of forcibly occupying the land belonging to them.

They have demanded a “decent” compensation. According to the agreement, the project completion period is 10 years, and the Chinese side will operate it for another 40 years.

The project displaces locals

According to the locals, the project has displaced as many as 35 indigenous Dhimal community of Kamal Rural Municipality, Lakhanpur and Balubathan in contradiction to the promise that over 100 industries would be established, providing jobs to the locals, and the price of the lands would increase.

They could not sustain on a meagre compensation they have got for their land acquired for the project, they have complained. They have now protested by forming a struggle committee.

Notably, local social worker Dharmendra Sedhai has got his four bighas of land acquired for the project, but he has got a low compensation for only 2.5 bighas.

Likewise, former UML member Bishnu Niraula has been deprived of compensation despite the agreement to provide Rs 800,000 per bigha of land acquired for the project.

Land mafia have also increased their control in the area. They have in collusion with the people in power and contractors with close ties to China reportedly bought land from a local Dilli Ram Siwakoti at Rs 200,000 per bigha, and sold it for as much as Rs 4 million per bigha.

Despite protests by the affected local people, the Government of Nepal seems apathetic. Despite repeated calls to the concerned authority, they have yet to get justice, they said.

Many political party leaders including UML Chair Oli, Gobinda Thapa, Hom Thapa, Bal Bahadur Thapa, Romnath Oli, Benu Siwakoti, Menuka Kafle and Dipendra Dahal among others have been accused of involvement in the land scam.

According to experts, building an industrial park with Chinese investment near the Indian border is not suitable from a strategic point of view. It is also being analysed that China is trying to increase its strategic presence in Nepal through trade.

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PM Oli leaves for China to attend ‘SCO’ Summit
Featured-news

PM Oli returning home today after attending SCO Summit

by Metakhabar
September 3, 2025
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Kathmandu, Sept 3: Prime Minister KP Sharma Oli is returning home today after attending the Shanghai Cooperation Organization (SCO) Summit-2025...

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