Home / Knowledge / News / Apparel/Garments / Garment exporters eye Indian market
Garment exporters eye Indian market
20
Oct '10
Half a decade ago, lapse of Multi Fibre Agreement was feared to bring bad tidings for Nepal especially because of its giant neighbor India over-shadowing it and winning bigger slice of textile trade post MFA.

Nepal, that owns mastery over stitching the ready to wear garments at low cost labor, has turned to its advantage its contender India into a benefactor. Garment exporters in Nepal, are witnessing upward trend in their exports to India. Obvious it is to be, they are now focusing on Indian market that is anticipated to be a potential one for Nepalese textiles, over the next five years.

With a view to examine the scenario closely, we interviewed the Chief Executive of Garments Association of Nepal (GAN), Mr Ashok Koirala. He enumerated various strengths of Nepal Garment industry saying –“Direct costs are comparatively lesser than the neighboring countries presently which include labor costs, electricity costs, etc. We have skilled labor and hence one doesn't need to start with the basics. We have the basic infrastructure. The Nepalese readymade garments especially typical to Nepalese culture are exported to the major countries of the world. Nobody understands Buddhist culture better than the Nepalese. Exports to Canada, Europe & Australia have duty free access to those countries under GSP facility extended to Nepal. Being an under developed country, Nepal has also applied for GSP facility to the US”.

Attributing the determinants behind increased focus on India, Mr Koirala told that for Indian market, Nepalese RMG exporters have the facility to import fabric from a third country, and to manufacture as well as export the garments made there from without paying any duty at entry or exit. India charges a CVD on such imported RMG equivalent to the excise duty payable on the same in India. This makes cost of importing RMG from Nepal equivalent to cost of manufacturing in India where other parameters remain same, he finds.

The chief further brought out about the barriers in the growth of industry in Nepal. He sees the political unrest resulting into labor unrest and thus hampering production. Load-shedding is another major problem according to him. However, the problem which he believes should be addressed with priority is the lack of Nepalese entrepreneur to directly market their products to potential buyers. Once, these problems are addressed Nepalese RMG sector could reach greater heights, Mr Koirala believes.

He also expressed his views on the current export priority list by Nepal Trade Integration Strategy (NTIS) 2010. He made note that the priority list consists of 19 items which are well deserved but not sufficient. In his opinion this list does not include the major three items which had formed the major portion of exports of the country in the past i.e. RMG, Carpet & Pashmina. He ending his quotes in satisfaction, however, acknowledged that after the efforts from various organizations the Nepalese government has agreed to include the same which would suffice the purpose.

Fibre2fashion News Desk - India


Must ReadView All

Digital textile printing sector to grow by 20% by 2020

Textiles | On 18th Jun 2018

Digital textile printing sector to grow by 20% by 2020

The digital textile printing sector is expected to have a compound...

Courtesy: Hela Clothing

Apparel/Garments | On 18th Jun 2018

Hela's latest label revolves around underwear, sleepwear

The latest collection of Sri Lanka’s Hela Clothing is revolves mostly ...

Kenya levies higher duties on mitumba import

Apparel/Garments | On 18th Jun 2018

Kenya levies higher duties on mitumba import

Kenya’s treasury secretary Henry Rotich recently raised the duty on...

Interviews View All

Viral Desai
Zenitex Mill Pvt Ltd

Full of green energy

Siddharth Biyani
Mangalam Industries Pvt Ltd

‘The manufacturing sector is improving day-by-day, becoming better in...

Representatives
Textile & apparel industry

GST is a complicated and lengthy process

Kamal Kulshreshth

Colorjet is among the fastest-growing wide format digital inkjet print...

Harsh Shah

Fynd is the central online shopping destination for fashion, offering...

Harmeet Singh

New Delhi-based Jogindra Industries Private Limited provides an assortment ...

Marcel Alberts
Eurofibers

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

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Lynda Kelly
Suominen Corporation

Suominen Corporation is a manufacturer of nonwovens as roll goods for...

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Nisha Chanda
Whistling Woods International School of Fashion

<div>A lack of upgraded courses in costume designing and fashion as per...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

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

Leave your Comments


June 2018

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

news category


Related Categories:

Advanced Search