The government had pushed for collective trade mark hoping it would help Nepal´s once popular export item regain its lost glory. A taskforce of Ministry of Commerce and Supplies (MoCS), headed by joint secretary Chandra Kumar Ghimire, has been arguing for a collective trade mark as one of the important ingredients to boost slowed export of the carpet.[break]
The taskforce has finalized draft recommendations incorporating different measures to reinvigorate the export that is in a downturn. The government has already registered collective trademarks for Nepali tea, coffee and pashmina within the country.
“Despite the series of meetings with carpet entrepreneurs, it has been very difficult to convince them about the importance of a collective trade mark. The entrepreneurs are divided in different associations and have their different interests,” Ghimire told Republica on Friday.
The taskforce has also found it necessary to set up a regulatory body to oversee the carpet sector and promote the item in the countries that are potential markets for Nepali hand-knotted carpet.
There are around a half dozen associations of carpet producers, wool producers, carpet exporters, hand-knitted carpet exporters and machine-knitted carpet producers.
"We are also ready to support carpet entrepreneurs to register a collective trade mark within the country and abroad. However, there is lack of unanimity on introducing a trade mark that is expected to ensure easy-access for Nepali carpet into the international market,” Ghimire said.
A source at the MoCS told that efforts to register collective trade mark hit a snag as some carpet entrepreneurs who are taking advantage by exporting inferior quality carpet in the absence of collective trade refused to cooperate.
"Some shied away from collective trade mark regime fearing more responsibility and loss of existing market to competitors," said the source.
Exports of Nepali carpet had dropped by 20.5 percent to Rs 4.26 billion during the fiscal year 2009/10 compared to the amount recorded a year earlier. However, carpet export has gone up by 18.6 percent to Rs 3.10 billion during the first eight months of the current fiscal 2010/11 compared to last year. The USA, Germany, the UK, Australia, Canada, Belgium and Netherlands are major importers of Nepali carpet.
Related story
Nepali carpet exporter awarded in China
