Producers and exporters blamed lack of promotional activities in overseas markets for declining exports of Nepal´s Chyangra Pashmina in spite of trademark registration, albeit exports to India have improved slightly.[break]
Nepal Rastra Bank (NRB) said exports of Pashmina shawls dropped by a whopping 46 percent to Rs 1.01 billion in the first seven months of the current fiscal year to February 11.
In the same period, exports of Nepali Pashmina products to India, however, shot up by a staggering 62 percent to Rs 34.7 million. Nepal´s Pashmina exports to the southern neighbor stood at Rs 21.4 million in the same period last year.
“Despite production of quality Pashmina products in Nepal, their sales haven´t picked up in overseas markets due to lack of effective promotional campaigns,” Pushpa Man Shrestha, president of the Nepal Pashmina Industries Association (NPIA), told Republica on Saturday.
Shrestha, however, said rise in number of Indians, who can afford to buy Pashmina shawls, has jacked up Pashmina exports to India.
With the registration of trademark by the government for international promotion and quality assurance, manufacturers had believed pashmina exports would go up substantially to the US, Europe and Japan--three largest markets for Nepali Pashmina.
The NPIA has so far registered the government-recognized Chyangra Pashmina trademark in 41 countries including the European Union members, Japan, Australia, Singapore, South Korea, Hong Kong and the US, among others.
Process to get the trademark registered in Brazil, Russia, South Africa, China and the UAE is also underway.
Pashmina is a prime Nepali commodity that had carved out a niche for itself among posh consumers around the world in the late 1990s. The product had gained popularity in the international market after fashion magazines associated the product with high-profile personalities, including the UK´s royalties. That boosted Pashmina exports to over Rs 7 billion in 2000, with as many as 75 countries placing orders from Nepal.
In a bid to support production, promotion and exports of Pashmina, International Trade Center (ITC), the joint agency of the World Trade Organization and the United Nations, has expressed interest in supporting Nepal.
In this regard, the government has already sent a formal proposal to Enhanced Integrated Framework (EIF) through ITC seeking support for boosting production and promotion of Nepal´s Chyangra Pashmina in overseas markets.
Once approved, Nepal will get assistance worth US$1.42 million (approximately Rs 128.16 million), including $1.22 million from EIF of ITC and $200,000 from the Nepal government, under the Pashmina Enhancement and Trade Support (PETS) project.
The project will support Nepali Pashmina entrepreneurs to produce wool, expand international and domestic markets, establish market chain and take part in international trade fairs.
“We are hopeful that Pashmina exports will receive a boost once the project takes off,” said Shrestha.
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