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Shipments of fancied export products rise 2pc

KATHMANDU, OCT 09 - Exports of products identified as having high export potential by the Nepal Trade Integration Strategy (NTIS) increased marginally by 2.08 percent in the last fiscal year 2013-14.
The annual report of the Trade and Export Promotion Centre (TEPC) shows that shipments rose to Rs 27.41 billion in the last fiscal from Rs 26.85 billion in the previous fiscal. Of the 13 export able goods identified under the NTIS, export s of 10 products grew while export s of three farm-based products -- lentils, tea and ginger -- saw a drop.
Ginger export s suffered the greatest fall of 66.2 percent. Shipments plunged to Rs 449.9 million from Rs 1.33 billion. However, Narendra Kumar Khadka, president of the Nepal Ginger Producers’ Association, said that the TEPC’s record was misleading..
“As most of the ginger export s to India are done without stating the correct quantity on the declaration forms, the actual figure should be much higher than what is shown in the government’s official records,” he said. “Traders ship up to three truckloads of ginger in a single consignment to avoid paying the high quarantine fee in India.”
Khadka admitted that export s of Nepali ginger had not increased massively due to the failure to improve the quality. According to him, the spicy root is in high demand in India, Bangladesh and the Gulf countries. “If there was a processing plant, export s could have been increased several times,” he said, adding that an investment of Rs 200 million in the least would be needed to set up such a facility.
After ginger, export s of lentils and tea were down 23.5 percent and 0.7 percent respectively. However, export s of the rest of the 10 products increased last year.
Woollen and pashmina shawls topped the list in terms of securing the highest rise in export earnings. Export revenues rose Rs 650 million to Rs 2.82 billion. Silver jewellery, which had been on a downhill course for the last few years, saw a surge in earnings by 15.1 percent to Rs 223.36 million last year.
Hem Ratna Shakya, president of the Federation of Handicraft Associations of Nepal, attributed the export growth to the increased publicity of the product in the international market along with improved designs. “With support from international non-government organisations like GIZ, we have focused on promotion of silver jewellery in the international market,” he said.
Likewise, large cardamom and medicinal herbs also posted a remarkable growth in their export earnings. Their export s increased by Rs 430 million and Rs 330 million respectively last year.


Export of NTIS products
NTIS Products                    FY 2013-14           FY 2012-13
Iron and steel products         Rs 11.83 billion       Rs 11.63 billion
Cardamom                          Rs 4.27 billion        Rs 3.84 billion
Pashmina products              Rs 2.82 billion        Rs 2.17 billion
Lentils                                Rs 2.04 billion        Rs 2.67 billion
Tea                                     Rs 2.02 billion        Rs 2.04 billion
Medicinal herbs                   Rs 1.60 billion        Rs 1.27 billion
Noodles                              Rs 822.49 million    Rs 601.39 million
Nepali paper products          Rs 651.73 million    Rs 549.86 million
Woollen products                Rs 501.02 million    Rs 427.83 million
Ginger                                Rs 449.90 million    Rs 1.33 billion
Essential oils                      Rs 161.03 million    Rs 87.03 million
Silver jewellery                    Rs 223.36 million    Rs 194.11 million
Natural honey                     Rs 176,000.00        Rs 21,000.00
Total                                  Rs 27.41 billion       Rs 26.85 billion

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