‘Government’s Apathy led to Downfall of Ready-made Garment Industry’

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‘Government’s Apathy led to Downfall of Ready-made Garment Industry’

September 11: Stakeholders have complained that the government has been ignoring the ready-made garment industry of Nepal. The ready-made garment manufacturers of the country made such remark during the 28th Annual General Assembly of Nepal Ready-made Garment Industry Association.

Speaking on the occasion, Senior Vice President of the Federation of Nepalese Chamber of Commerce and Industry (FNCCI) Chandra Prasad Dhakal said that the government has not given as much priority to the ready-made garment industry as it used to give some 30 to 35 years ago. He is of the view that the garment industry can contribute a lot to the economy if the government gives as much priority to this sector as it used to give about three decades ago.

President of the association Chandi Prasad Aryal said that the government’s apathy has led to the downfall of the readymade garment industry which once exported goods worth USD 400 million a year.

According to the association, Nepal’s annual export of ready-made goods in the fiscal year 2020/21 was worth Rs 5.31 billion.

Bangladesh, which started exporting ready-made garment around the same time along with Nepal, exported goods worth Rs 35 billion during fiscal year 2020/21, said Aryal.

He urged the government to develop infrastructure to make the ready-made garment industry more competitive in the market. He said that the concerned ministry as well as prime minister and other concerned bodies are always supportive to their demands but they fail to implement them.

“We were given assurance by three different prime ministers to resolve our problems but none of them fulfilled their promises,” said Aryal.

Aryal said that the private sector  organisations like FNCCI, the Confederation of Nepalese Industry and the Nepal Chamber of Commerce have also turned a deaf ear to the problems of the ready-made garment industry.

Senior Vice President of NCC Kamalesh Agrawal said that it was unfortunate that the export of ready-made garments did not increase even when then value of Nepalese currency depreciated by ten percent. He urged the government to promote this industry by concessions and other facilities. He said that Nepal cannot avail the facilities given to the least developed countries after 2026 and therefore urged the government to initiate bilateral talks with foreign countries based on export potential to ensure Nepal’s access to the international market.

Minister for Industry, Commerce and Supplies Dilendra Prasad Badu, who was the chief guest of the programme, said that he will work with sincerity to prove the misconception of the private sector regarding the government wrong.

“You might have been complaining based on your past experience. But I will prove it wrong,” said Minister Badu.

 

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