Home / Knowledge / News / Apparel/Garments / Nepal garment sector to benefit as India waives duty
Nepal garment sector to benefit as India waives duty
14
Dec '11
The garment industry in Nepal is likely to benefit with India's decision to end levying of additional customs duty on 162 Nepali export items, including those belonging to textile and garment industry, in its effort to provide some assistance to Nepalese exporters.

In 2006, India had imposed an additional customs duty of 4 percent on 331 Nepalese items. Subsequently in 2008, the duty was waived off on 169 items. However, the duty continues to be levied on the remaining 162 items and would be stopped once the waiver is implemented from March 2012.

Briefing about the benefits of the waiver to Nepalese textile and garment industry, Mr. Purushottam Ojha, Nepal's Commerce Secretary told fibre2fashion, “All textile and garment items are included in the waiver of additional customs duty. Nepalese garment producers have started exporting to the Indian market since the last couple of years. Some of them are manufacturing textiles for Indian exporters as well; they manufacture to some extent and rest of the value addition is done in India and then the final products are exported to a third country. So, both the garment sector and contract manufacturers in Nepal will benefit from the waiver of additional customs duty on the textile products.”

“In the past, garment industry employed a large number of people in Nepal. However, due to decline in garment exports, many industries closed down. Now, with India waiving off additional customs duty, it will certainly have a positive impact and increase Nepalese exports to India,” he added.

“It will, in turn, boost the industry and will consequently have positive impact on employment generation and people can have better incomes. This will also narrow down the wide trade gap that currently exists between India and Nepal,” the Nepal Commerce Secretary stated.

Echoing similar views, Mr. Shankar Prasad Pandey, Chairperson - Trade Committee, Federation of Nepalese Chambers of Commerce and Industry (FNCCI) said, “The imposition of additional customs duty on most of the Nepalese products made them uncompetitive with Indian products. Due to this, Indian imports from Nepal dwindled. But, with the removal of the additional customs duty, we are now hopeful that all our products will be easily exported to India. Actually, the entire process will become smoother.”

In the context of garment industry, he opines, “After this waiver, a lot of Indian companies are likely to come here in Nepal and expand their business in the Nepalese garment industry. They would even buy products from here. Thus, it will benefit Nepalese as well as Indian traders and entrepreneurs.”

Fibre2fashion News Desk - India


Must ReadView All

Indian govt approves special package for leather, footwear

Textiles | On 16th Dec 2017

Indian govt approves special package for leather, footwear

The Union Cabinet chaired by PM Narendra Modi has approved a special...

EU parliament resolution calls for Cambodia sanctions

Apparel/Garments | On 16th Dec 2017

EU parliament resolution calls for Cambodia sanctions

Following the ongoing crackdown in Cambodia on the opposition and...

Affordable prices to be hit if US pulls out of NAFTA: NRF

Apparel/Garments | On 16th Dec 2017

Affordable prices to be hit if US pulls out of NAFTA: NRF

US retailers’ ability to offer consumers quality products at...

Interviews View All

Yashiki Gumber
Sahiba Fabrics

Fabric does not restrict us from fashion trends

Sunil Rathore
Lacoste India

‘New vendor is welcome if he offers cost, quality and timely delivery’

Giovanni Pizzamiglio, Paolo Crespi & Riccardo Robustelli
Epson, For.Tex & F.lli Robustelli

‘The percentage share of printing in the global textile market is pretty...

Suresh P Bagrecha

Komal Texfab, founded in 1981, is into manufacturing of knitted fabrics,...

Ravindra Jain, Ashish Baid

Oswal Prints Private Limited has been manufacturing and exporting ethnic...

C Dhandayuthapani

MAG Solvics Private Limited was established in 1991 to design and develop...

Marcel Alberts
Eurofibers

Coating at a fibre level is a practice not usually seen in the...

Urs Stalder
Sanitized AG

Urs Stalder, CEO, Sanitized AG, talks about the increasing use of hygiene...

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Aditi Somani
Aditi Somani

Aditi Somani specialises in luxury fusion wear with international cuts and ...

Mike Hoffman
Gildan Activewear SRL

Gildan Activewear, a manufacturer and marketer of branded clothing and...

Robert Brunner
Devereux

Golfwear and menswear brand Devereux is set for greener pastures. Robert...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

December 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
69.6%
No
12.0%
Skip
18.5%

Total Votes: 92

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
62.0%
No
30.4%
Skip
7.6%

Total Votes: 92

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
87.0%
No
9.8%
Skip
3.3%

Total Votes: 92

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
81.5%
No
8.7%
Skip
9.8%

Total Votes: 92


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search