Clear policy sought to boost exports

KATHMANDU: With a huge fall in the handicraft exports, there is a need for government to put handicraft sector in its major agenda during the trade talks.

Talking on the recent handicraft data that has fallen by 12.15 per cent compared to same

period last year, Pushkar Man Shakya, vice-chairman of

World Craft Council for Asia

Pacific Region and former

president of Federation of Handicraft Association of Nepal (FHAN) opined that government has still not shown any concern over the sector.

A recent six month comparative data of Nepali handicraft export has shown a plunge of 12.15 per cent in total handicraft export compared with same period last year.

“Government has no

proper policy to encourage handicraft sector,” he said adding that it has never taken the handicraft export in its agendas during the trade talks.

“National Planning Commission (NPC) talks only about

industries but does not focus on product development,” he said. “But unless the government provides us with facilities and incentives like in the other countries, how can the sector grow.”

“We are capable of producing quality products but we need a clear policy to boost the export,” Shakya added.

According to him the major cause in the fall of handicraft export was fall in the forex rate and banks’ charging them high interest rates. “The banks are not very supportive as we are bound to pay higher interest rates,” Shakya said.

According to Federation of Handicraft Association of Nepal (FHAN), in terms of textile

products there is a fall of 20.10 per cent while there is only 1.02 per cent increment in the export of non-textile products. All the major exportable products witnessed a decrease.

Though export of Pashmina products has fallen by 36.48

per cent, it still has the

highest contribution with 20.34 per cent in the total export, reveals the FHAN.

Meanwhile, glass products export has witnessed the highest export with 255.37 per cent increment compared with the same period last year.

According to Federation of Handicraft Association of Nepal‘s six month comparitive data, the top ten export

countries are the US, Germany, UK, Japan, France, Canada,

Italy, Netherlands, Switzerland and Denmark.

The total export during first six months of the current fiscal year 2009-10 stands at Rs 1.47 billion that is a fall of 12.15 per cent compared with the same period last fiscal year.