In recent weeks, Nepali boutiques have been receiving steady orders from Europe - the largest market for Nepali garments.[break]
“We are receiving satisfactory demand from European markets and hope Nepali exports will go up by 20 percent compared to last year. Boutique items are preferred over normal garments,” said Yagya Pokhrel, proprietor of United Fashion in Thamel.
Pokharel said small exporters are supplying small quantity of around 5,000 to 10,000 pieces to Europe, which accounts for over 60 percent of the total exports of Nepali apparel. Mainly, Jacket, trouser, T-shirt are among the Nepali boutique items witnessing robust demand from Italy, Germany and France.
“Compared to ordinary RMG, creative aspects of of boutiques items are much appreciated in Europe. So, small exporters are not affected by the ongoing European financial crisis,” said Pokhrel.
Like United Fashion, more than 40 small boutiques are operating in Thamel where some of the boutiques are also busy in taking orders from big exporters who are outsourcing the production.
Despite impressing overseas demand, exporters are facing pressure to manage shipment in time due to increasing load-shedding hours. “We are not in a position to operate generators to continue the production during power outage. There is added pressure for timely supplies in the international market,” said Pokhrel.
Uday Raj Pandey, president of Garment Association Nepal (GAN), said demand from Europe in small quantities by small buyers is satisfactory at a time when demand from US is not satisfactory.
“Nepali exporters have high hopes from European markets at a time when the US market is not growing and India still continues to impose additional duty on Nepali RMG though the duty was officially removed two years ago,” said Pandey.
Nepal exported total 17.08 million units of RMG worth Rs 4.08 billion during the fiscal year 2010/11, up by 8.7 percent in terms of value compared to the previous year.
During the first quarter of current fiscal year, total 4.59 million units of RMG worth Rs 1.5 billion were exported to overseas markets, posting a marginal 5.7 percent rise compared to the corresponding period last year.
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