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Nepal's carpet exports fall 12.4% in 2012-13
Sep '13
The exports of hand-knotted carpets from Nepal fell 12.4 percent year-on-year during the Nepali fiscal year that ended on July 15, 2013, according to the data released by Nepal Rastra Bank.
In fiscal year 2012-13 Nepal exported carpets worth Np Rs. 6.075 billion compared to exports of Rs. 6.938 billion made during the previous fiscal, according to the bank’s annual export statistics.
Nepal once exported around 3.3 million sq m of domestically-made carpets, but gradually the exports have dropped and slipped to 500,000 sq m during last fiscal, according to The Himalayan Times report. 
Nepali carpet exporters blame the Government’s ineffective policy for the gradual decline in exports. While the Governments of countries like India and China extend around 10 percent direct export incentive facility, the Nepali Government offers a maximum of two percent cash incentive on exportable products, which is quite low for the domestic carpet sector to compete in the international market.
In view of the severe competition and soaring cost of producing carpets, Nepali carpet manufacturers and exporters have now started focusing on manufacturing of high-end carpets that face relatively less competition.

Fibre2fashion News Desk - India

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