Agro products lead increase in exportsExport earnings from goods identified by the Nepal Trade Integration Strategy (NTIS) posted double-digit growth during the first half of the fiscal year on higher demand for cardamom, tea, ginger and yarn, the Trade and Export Promotion Centre (TEPC) said.
Export earnings from goods identified by the Nepal Trade Integration Strategy (NTIS) posted double-digit growth during the first half of the fiscal year on higher demand for cardamom, tea, ginger and yarn, the Trade and Export Promotion Centre (TEPC) said.
According to the TEPC’s statistics, revenues swelled 10.31 percent to Rs16.58 billion during the period mid-July to mid-January. Yarn and textile recorded the highest export earnings. Revenues from these products surged 18.58 percent to Rs5.36 billion.
Similarly, cardamom exports soared 54.1 percent to Rs2.69 billion. Earnings from tea also rose 24.6 percent to Rs2.04 billion.
According to the National Tea and Coffee Development Board, demand for Nepali tea has been increasing mainly from China. “A number of Chinese traders have been buying Nepali tea to re-export it to other countries including Australia,” said Sheshkanta Gautam, executive director of the board.
Nepal exported hides and skins worth Rs456.83 million during the review period, a strong growth of 21.8 percent. Despite facing repeated hurdles from the Indian side, ginger exports more than doubled to Rs356.7 million.
Of the nine products in the NTIS list, four observed a fall in export revenue. Export earnings from woollen carpet fell 12.1 percent to Rs3.28 billion. Similarly, shipments of pashmina shawls plunged 11.1 percent to Rs1.28 billion.
The Nepal Pashmina Industries Association, however, claimed that demand for Nepali pashmina products had been encouraging in recent days. “There is growing demand for both shawls and sweaters made out of Nepali pashmina, mainly from the European market,” said Durga Thapa, president of the association. “We have recently started diversifying the products that come in different designs and fusion types.”
Likewise, revenues from footwear and medicinal herbs fell to Rs799.47 million and Rs322.74 million respectively. Nepal exported NTIS products worth Rs29.49 billion in fiscal 2016-17.
The NTIS, an ambitious programme launched by the government in a bid to boost trade and narrow the trade deficit, has categorized nine goods as having a comparative advantage. They are woollen carpet, cardamom, ginger, tea, medicinal herbs, hides and skins, footwear, pashmina and yarn and textile.
The NTIS was launched in 2010. Following poor performance of the goods identified in the programme, the government revised the list in 2016.