Home / Knowledge / News / Apparel/Garments / Garment exports plunge unabatedly, Govt waits in optimism
Garment exports plunge unabatedly, Govt waits in optimism
08
Sep '08
Month on month, the readymade garment industry of Nepal is still undergoing a shrinking process when it comes to its market share in the US. Apparel exports have plummeted by a whopping 49 percent during the first eight months of this year.

Mr Uday Raj Pandey, Vice President of Garment Association of Nepal (GAN), informed Fibre2fashion that “sales to the US from January to August 2008 totaled to a mere US $10.17 million, down from $19.73 million during the same period last year.” He also added saying, “exports had plunged by 2 percent in January 2008 when compared to the same month in the previous year. However, it slipped by an enormous 62 percent in August this year over the same month last year.”

The country dispatched only $0.69 million worth of garments in August compared to US$ 1.83 million recorded in the same month last year.

Reasons have been attributed to eroding competitiveness, political instability, and diversification of international orders to other countries. As a result of these disturbing conditions caused by both internal and external factors, garment exports to the US are worth a mere one-tenth of what they used to be in 2003.

However, GAN is presently hopeful about conditions improving as the newly elected government has already started activities to reinstate normalcy.

Moreover, a large number of least developed countries have received duty free facility for exporting goods to the US. Among these are the African countries that are covered under the African Growth and Opportunity Act and the Caribbean countries that are sheltered under the Caribbean Basin Act. Now, Nepal is also trying hard to get approval from the US which will help to avail duty free preferences and which would bring down the rates for domestic goods by 18 percent when compared to those prevalent in competing countries like India, China, Bangladesh, and Sri Lanka and consequently help increase over all exports.

With this regard, the commerce department of Government and President of GAN also visited US and held discussions with officials from the Senate and the Congress for acquiring special preferences to access US markets.

Nepal is now optimistic about receiving duty free export access from January 2009 whose direct impact will be seen on the exports which are sure to manifold by March 2009. As part of the remedial measures, the domestic Government has also been urged to implement the program of developing a Special Economic Zone including a Garment Processing Zone in Birgunj to resolve the problem of labor unrest and higher cost of production.

Fibre2fashion News Desk - India


Must ReadView All

Apparel/Garments | On 25th Jun 2017

Half of 7,000 new apparel online each day target women

Adobe has released its first Digital Price Index for apparels,...

Textiles | On 25th Jun 2017

First Insight, Chico's FAS enter partnership

First Insight, a technology company transforming how retailers make...

Apparel/Garments | On 25th Jun 2017

Expand changing use of social and web resources

With over 400 million impressions to date and web traffic of over two ...

Interviews View All

Hannah Lane
Redress

Encouragement from brands will motivate supply chains to become more...

Md Hanifur Rahman
Aman Group

The level of understanding the job role and organisational requirements...

Cindy McNaull
Cordura

We have broad range of options in durable fabrics

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Marten Alkhagen
Swerea IVF AB

Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Mike Hoffman
Gildan Activewear SRL

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

Silvia Venturini Fendi
Fendi s.r.l

"Yes, my confidence and positive attitude are my strengths and should be...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

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

news category


Related Categories:
June 2017

June 2017

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

SUBSCRIBE


Browse Our Archives

GO


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