The government will introduce Land Use Regulation 2079, which will divide land into 10 different use categories.
Land in Nepal is divided into agricultural, residential, commercial, industrial, mining and mineral areas, forest areas, rivers, lakes, wetland areas, public use areas, cultural and archaeologically significant areas, and other categories by the Nepalese government.
Numerous grounds, criteria, area, and utility criteria have been established for classifying land.
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After reviewing the Regulation, we can determine which category our land falls into. Land classified in one area will no longer be used in another. Commercial housing development and sales are only permitted in residential areas, as per, Minister for Land Management.
The Regulation authorizes the federal level to map or otherwise exploit the nation’s land use, as well as to transfer any maps and data created by the federal level to the local level. As needed, the map modification can be updated and implemented locally.
Based on the land use map and specific local requirements, the local level will be able to categorize the land under its jurisdiction. Different sub-zones, including those for food crops and fruit, can be classified within the same land use zone, according to Minister Shrestha.
Agriculture sector
- Land dedicated to the cultivation of food crops, pulses, oilseeds, or other cash crops.
- Land used for orchards or nurseries, vegetables, commercial floriculture, nursery land, and other agricultural purposes.
- Land used for livestock or grain production, grasses or plants for animal feed, and so on.
Aside from government and public forest areas, grassland, grazing land, and populated land with trees or shrubs. - Private land where vegetation or herbs are grown with the intention of producing forest produce or herbs.
- Land for fishing by constructing artificial ponds on private or government-owned land.
Land with any physical structure, such as a house, tent, or other structure, used for agricultural produce maintenance, storage, drying, and processing, or animal husbandry. - land prepared for cultivation through mining, or fallow or barren land suitable for cultivation.
- Even if it is connected to a residential, commercial, or other used area, the plot’s area is more than 5,000 square meters of cultivated, mined, or barren land.
Barren arable land that has been cultivated or mined in an area of one hectare or more by combining different plots in one location.
Residential district
- A building, house, pavilion, or land used as a civic residence except for agricultural produce maintenance, storage, and processing, animal husbandry, or industrial factory operation.
Land with a personal home and an adjoining garden, a garage, a patio, and a private road used for that purpose. - land prepared for cultivation through mining, or fallow or barren land suitable for cultivation
- Even if it is connected to a residential, commercial, or other used area, the plot’s area is more than 5,000 square meters of cultivated, mined, or barren land.
- Barren arable land that has been cultivated or mined in an area of one hectare or more by combining different plots in one location.
- Residential district A building, house, pavilion, or land used as a civic residence except for agricultural produce maintenance, storage, and processing, animal husbandry, or industrial factory operation.
- Land with a personal home and an adjoining garden, a garage, a patio, and a private road used for that purpose
- Houses constructed in rural areas, courtyards, chowks, adjoining cowsheds, gardens, and so on.
Land of less than 1,000 square meters in an area with basic physical infrastructure such as roads, electricity, drinking water, or sewerage. - Land with at least ten joint family housing units or 150 single family housing units within 100 meters of the bare minimum infrastructure required for residential use.
Industry sector
- The house and land where goods and services are collectively bought and sold, as well as the land allotted for that purpose,
- Areas with various types of commercial, commercial, and recreational areas, as well as land used for or allotted for that purpose,
- A government, public, or private sector office established to provide services and the land it discusses or the land set aside for future construction,
- Areas used for tourism activities and the land surrounding such areas
- An industrial area is a location where there is an industry or workshop producing any commodity or raw material, as well as houses or pavilions built for that purpose and land used for industrial operations.
- Food processing, consumables, beverage production and processing facilities, as well as land set aside for this purpose,
- Land set aside for various machinery tools, equipment, and vehicle construction sites, among other things.
- Textile and garment manufacturing facility, as well as land set aside for this purpose
Decorative materials, building materials, and the woodworking industry, including the operating site and land set aside for that purpose, - Houses, pavilions, and workshops needed for the operation and maintenance of an industry, as well as land used for raw material storage
- Land used for the disposal of industrial waste
- The Nepalese government has established an industrial zone, a special economic zone, and other lands.
Mining and Mineral industry
- Mines of various types on the earth’s surface (including stone, ballast, and sand) or underground (including iron, zinc, copper),
- Underground deposits of various minerals (petroleum products, gas, gold, silver, or other precious metals),
- A mine or mineral is being excavated or has been excavated and is now vacant or discovered.
- The forest Land that is entirely or partially covered in trees and vegetation,
- Land with various types of forests, such as government, community, confessional, religious, government, or public lands planted with trees and vegetation.
- Land devoid of shrubs, bushes, and other vegetation that is not classified as other purposes, even if there are no trees or vegetation.
- Natural pastures, national parks, wildlife reserves, hunting reserves, intermediate areas, and protected areas are all found on this land.
- Trees and plants grown or protected on government or public land to conserve water sources
Other than private land obtained from river uplift, land designated for forest areas - Land classified as forest under current forest law.
- Rivers, streams, lakes, and wetlands
- River, stream, and stream areas, including their mouths
- Canal and its ledges
- Natural lakes, ponds, and their edges
- The area where a former river or stream flowed and the river or stream has recently risen and rock has remained.
- Wetlands are areas where water has frozen or is likely to freeze despite the absence of flowing water.
- Public use area
- Land occupied by various types of transportation infrastructure (such as ports, bus terminals, parking garages, road belts, roads, roads, railways, bridges, airports, and so on) and other structures. A public use area on land
- Gardens, parks, zoos, picnic areas, sports infrastructure and grounds are examples of public areas.
- A location that has natural or man-made resources or infrastructure for public transportation, as well as land surrounding the location.
- Recreational areas, squares, fields, squares, market places, burial grounds, waste disposal sites, and so on.
- Government, public and community schools, universities, and other educational institutions occupy land.
- Cultural and archaeological sites
- Worship, devotion, or worship by various religious, cultural, or traditional communities.
- World Heritage Sites include historical, religious, and cultural sites.
- Various historical palaces, structures, forts, citadels, pillars, and other structures, constructions, or locations,
- Archaeologically significant areas defined by the Nepalese government or designated for conservation
- Other areas designated as necessary by the Nepalese government
- A specific type of land use area that does not fall within the range of 1 to 9.
- Any other land use area will be allocated based on local needs.
- Procedures for registering an industry
- If you’re thinking about starting a business, think about what kind of business you want to start
- before deciding where to register it. If your company focuses on manufacturing, you must register with the Department of Industry.
Production entails both the production of goods and the production of services. If you want to register your business with the Department of Industry, you must first decide which industry you want to register with.
There are three types of industries:
- Medium industry,
- Small and cottage industries,
- Large industry
If you want to run a local business with little investment, you should register in small and cottage industries. They can export and distribute their goods on the global market even if they are registered under Small and cottage industries.
The Department of Industry has made arrangements; however, the capital is currently Rs. 500,000 to register the industries with the local body.If you intend to start a business with a single investment, you must register with the industry, according to the Private Firm Registration Act of 2014.
You must register a partnership firm if you intend to start a business with two or more investors.
- Prerequisites for registering small and cottage industries include:
- Choosing a name based on the nature of the company,
- To create an online user ID
- Online Name Verification (Certificate of Business Registration at Ward Office is mandatory)
- Nepali citizenship photocopy, 3 copies of investor’s photo
- A certificate of relationship and a copy of the land deed are required if it is one’s own land; if it is someone else’s land, the rental agreement and a copy of the landlord deed, as well as a copy of your citizenship, are required. Tax returns, utility bills, and so on
Consensus Four-plot and Environmental Test Report, in the case of a manufacturing plant - In the case of a partnership firm, the acknowledgement of the partners
- A photocopy of the Memorandum of Association, AOA, certificate of registration, receipt of revenue payment to the company, decision to register the industry, updated details, tax payment, share data, and so on are required in the case of a registered private limited company.
- In the case of the Pvt. Ltd construction industry, a copy of the appointment letter and agreement deed, as well as approval to work of staffs such as Civil Engineer (Diploma Engineer), Accountant (Higher Secondary Education Accounting Subject), and Appointed Administrator (Higher Secondary Education in any subject)
- In the case of other special nature Pvt. Ltd., expert staff in the relevant field is required.
After you have registered in the industry, you must open a bank account and register with the Inland Revenue Office. - After registering your industry and starting your business, you can get the assistance you need to take advantage of low-interest loans and grants
Should you have any questions please do not hesitate to contact us at +9779745374671 or by email info@corporatelawyernepal.com
Alpana Bhandari is a founding partner and CEO of Prime Legal Consultants and Research Center. She graduated from American University Washington College of Law. She specializes in corporate/arbitration and family law.
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