ABSTRACT The Central Bureau of Statistics has been conducting the Census of Manufacturing Establishment every five year. This report contains the numerical result of CME 2001/02, which is the eighth in the serial. As per the international practice, the industries in this report are classified according to Nepal Standard Industrial Classification (NSIC), which in turn is based on International Standard Industrial Classification (ISIC).The objective of the census is to fill the gap of information about the changes taking place in the manufacturing sector of the economy. The census covers all manufacturing establishments engaging 10 or more persons. The reference period for the census was the fiscal year 2001/02. Ten (10) indicators including number of establishments, number of persons engaged, number of employees, wages and salaries, change in stocks at the end of the year, gross addition to fixed assets, gross fixed assets at the end of the year, census input, census output and census value added are defined as principal indicators. The principal indicator tables of Nepal and Urban/Rural areas are prepared by legal status, ownership, number of persons engaged and size of fixed assets and by NSIC at 4 digit levels in the National Report. But the principal indicator by legal status, ownership, number of persons engaged, and size of fixed assets and by NSIC at 4 digit level are also kept in the District Level report. The CME-2001/02 reveals that the number of operating establishments has declined in comparison to the last census (1996/1997). Similarly, the number of persons engaged has also declined. However, the census output and value-added has increased during the same period. SCOPE The scope of the CME 2001-02 includes all manufacturing establishments of major division 'D' of the Nepal Standard Industrial Classification 2000. In general, manufacturing establishments are classified on the basis of the principal type of products produced. There are following 23 Divisions, 53 Groups and 117 Classes of Major Division “D”, that is, "Manufacturing and Recycling" in the NSIC. The distribution of the NSIC by division, group and class provided in the document named: Major_Division_D_Distrbution. With respect to subjects concerned, CME provides the following information as included in the questionnaire: - Total number of manufacturing establishments engaging 10 or more persons; - Legal status, ownership and major manufacturing activity of the establishments; - Employment (no. of employees by sex and citizenship and their emoluments); - Quantity and value of production, purchase and sale of fuel; - Quantity and value of raw material purchased by CPC and country; - Quantity and value of production and sale of product by CPC and country; - Opening and closing stock amount of fuel, raw materials, finished goods, semi-finished goods; - Income from and expenditure of industrial services; - Income from and expenditure of non-industrial services; - Amount of indirect taxes paid, e.g. VAT, excise duty, import duty, export duty, etc.; - Capital formation and fixed assets; - Capacity utilization; - Major problems faced by the establishments during the reference period. COVERAGE Geographic Coverage All 75 Districts of Nepal Universe All operational manufacturing establishments during the reference period (mid July 2001 to mid July2002) engaging 10 or more persons.