Four years after the Accreditation Act, 2022 was formulated, the government has established the Nepal Accreditation Center in Kathmandu. The move is expected to reduce the time and costs businesses incur for testing and certification, improve quality standards, and lessen dependence on foreign agencies.

The centre, located within the Department of Industry premises at Tripureshwor, was formally inaugurated on November 4 by Industry, Commerce and Supplies Minister Deepak Kumar Sah.

It will function as an autonomous national authority responsible for assessing and certifying the competence of laboratories, inspection agencies, and other institutions involved in testing and quality certification, with the aim of strengthening the country's quality assurance system.

In a press statement, the Industry Ministry described the establishment of the centre as an important milestone in Nepal's industrial development and trade facilitation.

“The centre has been established with the objectives of making Nepali industries competitive, ensuring that consumers have access to quality and safe goods and services, and helping establish Nepali products in international markets,” the statement said.

The centre is also expected to facilitate international accreditation and mutual recognition arrangements to support Nepal's export trade. This would help build international confidence in the quality of Nepali products and also reduce costs as well as procedural complications for exporters, the ministry said.

With the centre's establishment, laboratories, medical laboratories, inspection agencies, and certification bodies will have a domestic institution through which to seek accreditation.

The ministry said improving the credibility of institutions that test food, pharmaceutical products, construction materials, and electrical equipment would also contribute to protecting consumers' health, safety, and interests.

“Certification issued by an accredited laboratory will be internationally recognised, which will facilitate export and import. It will certify products in a manner compatible with both Nepal Standards (NS) and the Bureau of Indian Standards (BIS), for instance,” said Jitendra Basnet, joint secretary at the Industry Ministry.

The centre has been established to ensure that certificates issued by Nepali labs receive international recognition, he said. In the absence of an accreditation mechanism, many countries have not been accepting certificates issued by Nepali laboratories.

“We will start the centre's work by forming a team at the joint-secretary level for now and implement the law. A political appointment will be made for the centre's leadership,” Basnet said.

Exporters have welcomed the initiative but said its effectiveness will depend on how consistently the government works to make the centre fully operational. Once functional, the centre could reduce lab testing expenses by around 20 percent, they said.

However, securing international recognition will take time.

“If the government works continuously, it will take three years for the centre to become ready to accredit laboratories. The Nepal government needs to obtain recognition from an international body; otherwise, the certification will not be internationally valid,” said Govinda Prasad Ghimire, president of the Federation of Export Entrepreneurs Nepal.

Currently, foreign buyers collect product samples from Nepal, conduct lab tests in their own countries and approve shipments only after the results meet their requirements.

Testing and transportation costs are particularly high for exporters of agricultural and herbal products, who must establish that their products are free of pesticides and meet organic standards.

“It costs a minimum of Rs500-600 to test pesticide parameters and certify whether a product is organic. Logistics are also expensive. For instance, sending a 500-gram sample to the US or European markets costs at least Rs8,000,” Ghimire said.

The government will not be able to issue internationally recognised certificates immediately, as the centre needs labs meeting ISO standards, qualified human resources, and recognition from an international accreditation body, he said.

An international accreditation body will have to inspect the centre before granting recognition. This process could take two to three years if the government works continuously, Ghimire added.

At present, lab test reports take around three weeks to arrive, he said. Ghimire is also chairman of Alternative Herbal Products Private Limited, a Kathmandu-based company that produces and exports medicinal plants, spices, and food supplements to the US, Europe, and Gulf countries.

He said the centre would help ensure the quality of both edible and non-edible products. However, he expressed concerns about the reliability of food testing currently conducted by the Department of Food Technology and Quality Control.

Exporters said that while microbial testing is currently available in Nepal, they still have to send samples abroad to determine whether products are pesticide-free and meet organic certification standards.

According to the Act, institutions seeking accreditation must apply to the centre and undergo an assessment by qualified examiners. The assessment will then be reviewed by subject-specific committees before the centre decides whether to issue an accreditation certificate.

Accreditation certificates will remain valid for three years, after which institutions must renew them. Organisations that fail to renew within the prescribed period can do so within 60 days of expiry by paying double the renewal fee. Certificates will automatically be cancelled if they are not renewed within that additional period.

The centre will also be responsible for regularly monitoring accredited institutions. It can issue warnings, suspend accreditation for up to six months or reduce the scope of accreditation if an institution violates the law or prescribed conditions. Accreditation can be revoked if an institution's activities cause serious damage.

The law also brings foreign accreditation and conformity assessment organisations under national oversight. Nepali institutions seeking accreditation from foreign agencies must obtain approval from the centre, while foreign conformity assessment organisations intending to operate in Nepal must also secure its approval.

With government approval, the centre can enter into agreements with equivalent foreign, regional, and international accreditation organisations.

The law imposes fines of up to Rs100,000 for using an accreditation logo without a valid certificate or certifying substandard products and services as meeting prescribed quality standards. Using the logo outside the approved accreditation scope can attract a fine of up to Rs75,000, while other violations can result in fines of up to Rs50,000.

The centre will be chaired by the secretary of the Ministry of Industry, Commerce and Supplies. Representatives from the ministries of agriculture, health, and education, the Nepal Bureau of Standards and Metrology, universities, professional organisations and the private sector will also be represented.

The government published the Accreditation Regulation in the Nepal Gazette in June to implement the Act.

The regulation prescribes an application fee of Rs10,000 for laboratories and organisations involved in reference-material production and proficiency testing seeking approval to obtain foreign accreditation. The fee is Rs15,000 for organisations involved in the certification or inspection of products, services, processes, individuals and management systems.

Organisations seeking accreditation from a foreign body must apply to the centre, submitting documents establishing the foreign organisation's legal status, authority and jurisdiction, along with reasons for seeking foreign accreditation and details of the proposed accreditation's scope.

The centre may grant approval after examining the application. Once an organisation receives accreditation from a foreign body, it must submit a copy of the certificate and documents specifying the accreditation's scope to the centre within one month.

The regulations also cover organisations that had already obtained foreign accreditation before the rules came into force. Such organisations must submit the required documents to the centre within one year. The centre is required to maintain separate records of these institutions.