Government to Form New Strategy to Promote Export

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Government to Form New Strategy to Promote Export

January 14: The government is preparing a separate export strategy for the top five export destination countries of Nepali products. The Ministry of Industry, Commerce and Supply said that the government is preparing to adopt a new strategy for chief recipient countries of Nepali products as the national strategy on export has posed some problems for conducting businesses with those countries.

Nepal exports maximum amount of goods to India, USA, Turkey, Germany and the United Kingdom.

Secretary at the Ministry of Industry, Commerce and Supply, Chandra Kumar Ghimire, told New Business Age that the government is preparing the new strategy to mixamize exports of Nepali products.

“The same national policy while dealing with different countries has posed problems in conducting business,” he said.

The ministry expects the new strategy to help in increasing export at a time when the country is witnessing increase in import day by day.

According to Ghimire, the government is working to identify the export products and them prepare strategy accordingly.

Secretary Ghimire said that the ministry will prepare the new strategy within two months. This strategy will determine the roadmap of Nepal’s trade with foreign countries.

In the recent years, the country’s trade deficit is widening due to the massive increase in import while the export remains minimal. The ministry believes that the recent surge in import is also due to the effect of the devastating earthquakes of 2015 which has triggered the reconstruction process.

Nepal’s chief imports include petroleum products, iron, steel, machinery parts and transportation vehicles, according to the Trade and Export Promotion Center . The country’s trade deficit in the last five months stood at Rs 569 billion. The ministry said that the country needs to produce products of export quality in order to reduce trade deficit.

Economist Dr Poshraj Pandey says that it is good to import products for construction and development but the economy will have negative impact if we heavily import luxury goods.

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