The team comprises some 20 members, including government officers and private sector representatives. They will meet with senior officials of US Department of State, Department of Commerce and US Trade Representative Office, among others, requesting for the duty concessions and other facility.[break]
"Mainly we will request for duty-free market access for readymade garments at the bilateral talks," Commerce Secretary Purushottam Ojha told myrepublica.com. The team will also request the US government to speed up previously discussed bilateral mechanism to promote bilateral trade and investment.
The Nepali Embassy in Washington is coordinating the meetings. "We are hopeful of concrete outcome this time," said Ojha.
Nepal had received positive response on duty-free facility for Nepali garment in the US market when the Chief-Secretary-led delegation met with US Trade Representative officials and senators in August 2008.
However, instead of a single-sector-specific approach, the US had proposed for a comprehensive trade and investment agreement at the bilateral meeting. The two sides had also agreed on setting up a permanent mechanism to talk trade, investment promotion and other bilateral issues.
Concrete materialization of the understandings, meanwhile, has not happened so far.
Nepal has been seeking duty-free facility for readymade garments in the US, especially after the elimination of the quota system in global apparel trade hit Nepali exports badly. The US is the largest apparel market in the world and absorbs 80 percent of Nepal’s garments exports.
Over the last five years, especially after the US extended duty-free facility to readymade garments from the Caribbean nations and Sub-Saharan Africa in 2002, Nepal’s exports have plummeted by 80 percent.
While that has shrunk the industry to about a dozen units, some 80,000 people -- half of them women -- have lost their jobs, according to Garment Association Nepal.
Moreover, officials at the Ministry of Commerce and Supplies said that prior to the bilateral talks, Minister Mahato and his team members will also be attending New York International Gift Show, on January 25.
The Show that will be held for five days is one the major commodity fairs in the US, in which leading carpet exporters from around the world showcase their products and interact with importers.
Nepali manufacturers and exporters are also participating in the fair. "Minister Mahato is scheduled to inaugurate the Nepali section of the fair before leaving for Washington DC," stated Ojha.
Nepali carpet manufacturers have been regularly participating in the international carpet fairs in the US over the last few years. After receiving warm response from consumers there, US has fast climbed the ladder to become the second largest importer of Nepali hand-knotted woolen carpet.
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