March 6: Nepal Gem and Jewelry Association has stated that the jewelry business in the country has been increasing by 10 percent annually. The association made such statement on the occasion of the 17th Annual General Meeting of the association held in Kathmandu on Saturday, adding that the internal trade as well as exports are increasing.

Those involved in this businessmen also said that they are facing problems due to the lack of raw materials and low investment in technology.

Industry Secretary Arjun Prasad Pokhrel assured that the government will move ahead by cooperating with the businessmen. He said that the government would play a supportive role in promoting the gem and jewelry trade as per the guidelines prepared by the association. On the occasion, the president of the association Jyotsna Shrestha said that the issue of lack of raw material in the jewelry business has been raised time and again but the concerned authorities have turned a deaf ear to it.

Stating that they are facing problems in paying bank's interest, house rent, employees’ salary allowance and also meeting the demands of the consumers due to insufficient raw material, she urged the government to find a solution to the problem through an in-depth study. “The raw material for us is gold and silver. But if quotas are reduced while the country's economy is in trouble, the jewelry business will become unproductive.”

She also emphasized on the need to bring a policy of re-exporting jewelry from Nepal by importing raw gold as per the demand from abroad. She said that it was necessary to train the manpower for exports. She says the lack of liquidity in the banking system has also affected the jewelry business. Moreover, she said that the businessmen have been further affected after the Nepal Rastra Bank set a 100 percent margin on the import of diamonds, precious stones and silver.

The association has said that the provision of keeping 100 percent cash for the import of such items should be revised. The association also said that the suggestions given by a task force formed two years ago has not been implemented yet. Stating that the demand for Nepali jewelry is also increasing among the Nepalese living abroad, the association said that it could not export the products due to lack of raw materials.

Similarly, the association has demanded the government to operate valuable mines in Nepal. Stating that there is a problem even in the excavation of raw materials, the association said that a large amount of money is sent abroad for processing the materials even after excavation. The association has also demanded investment in technology.