By Ajay Chhetri, Kathmandu, April 21: Volume of export of Nepali carpet has significantly declined in the span of the past 30 years. The data indicated that the production of the carpet declined nearly by 86 percent from its peak in the 1990s.

Notwithstanding its drawbacks, both the producers and policy makers are on the same page to resurrect it back to its previous level. Both have pointed out that development of capable human resources and aggressive modernization of promotion in high income countries are the two keys to unlock its potential. 

According to the data of the Customs Department, Nepal earned Rs 6.16 billion in the fiscal year 2019/20 by means of carpet export. Carpet export comprises 6.30 per cent of the total export of Nepal.

Data show that export of the carpet industry acutely dived from its peak in 1990s. According to the data of Trade and Export Promotion Center, Nepal exported 2,371,000 sq. meter carpet in the fiscal year 1991. Contrastingly, the export shrunk to 345,232 sq. meter in fiscal year 2019/20.

Senior-vice President of Nepal Carpet Manufacturer and Exporter Association, Hari Thakuri, who is also a carpet entrepreneur, views that carpet production at the current level is not at its potential capacity as he says “the carpet industry possesses a huge potential to scale-up production”.

However, he added that “labor cost in Nepal is high and also a lack of skill-intensive human resources. In addition to it, there is also a need to create an international brand name that could be an emblem for the Nepali Carpet Industry around the world”. 

Rajendra Singh, deputy director of Trade and Export Promotion Center (TEPC), says that the government has been effortful in promoting carpet export. "The TEPC under the Government of Nepal, Ministry of Industry, Commerce and Supplies has been developing and promoting the carpet industry through various programmes and activities by means of allocated annual budget," he said.

He added that the government is providing regular programmes and activities such as skill development training on various stages of production of carpet in Nepal, export promotion programmes by participating in global trade fairs and exhibitions by setting up Nepal Pavilion in countries such as Germany, USA, China and India. In addition, the center has also taken initiatives for several times by allocating the required budget to develop and register Collective Trademarks for Nepali Carpet in the international market. Additionally, TEPC has been regularly arranging Business Meetings in "Nepal Evening " during the Domotex-International Trade Fairs for Carpets and Floorcovering in Hanover, Germany and participating in other International Trade Fairs and exhibitions such as the International Surface Events in Las Vegas, USA, China International Carpet Exhibition, Xining city in China in order to boost up the export of carpet in the world's largest markets”.