Nepal touches 3.615 billion Nepalese rupee from readymade garment exports

Nepal’s readymade garments is one of the largest export sectors in terms of foreign exchange earnings apart from providing employment opportunities was almost on the verge of collapse but has changed in recent months. Nepal’s RGM sector has shown a sharp increase in its exports as peace and political stability have convinced foreign buyers to return, and demand from abroad has instilled confidence in garment entrepreneurs.

Their readymade garment (RGM) export has touched 3.615 billion Nepalese rupees, an increase by 52.8 percent in the first eight months of the financial year (from June16, 2013 to Feb 16, 2014). Last year for the same period, its RGM exports had achieved 2.366 billion Nepalese rupees.

While yarn exports especially cotton, polyester and other yarns for the eight months period improved by 6.1 percent to reach 4.028 billion Nepalese rupees and fabric exports increased by 5.9 percent to 3.76 billion Nepalese rupees year-on-year.

Woolen and Pashmina shawls exports did not show much improved, it increased by only 0.6 percent to 1.466 billion Nepalese rupees year-on-year during the first eight months of FY as per the country’s trade and export promotion centre (TEPC)

Major countries for Nepal´s garment import are to the USA, Canada, Europe, Australia and India. Within Europe the key garment importing countries are Germany, France, The Netherlands, UK, Spain and Switzerland.