Exports of the Nepali footwear brand Goldstar to India has partially resumed after two and a half months.
A high-ranking official of the Nepal-India Chamber of Commerce and Industry has confirmed that the export of Nepali footwear brand Goldstar has now been partially cleared for export.
The shoes, manufactured by Kiran Shoes Manufacturers Pvt. Ltd., are popular in both Nepal and India, with significant exports to the southern neighbour. However, exports had been stalled due to delays in the issuance of new quality certifications by Indian authorities over the past two and a half months.
Sunil KC, president of the Nepal-India Chamber of Commerce and Industry, confirmed that India has granted a Bureau of Indian Standards (BIS) certificate to products manufactured at one of Goldstar's factories, enabling their export.
"India on Friday granted Bureau of Indian Standards (BIS) certification to the products of one of the various factories producing Goldstar shoes," KC told New Business Age.
India has made BIS certification mandatory for the sale and distribution of goods such as footwear, cement, plywood, zinc sheets, and sanitary pads in its market. However, delays in issuing or renewing these certificates have disrupted the export of Nepalese products to India.
According to KC, officials from the Bureau of Indian Standards recently inspected Kiran Shoes' factory and certified the products of one of their facilities. "This clears the way for the products from that factory to be sold in India," KC explained.
Kiran Shoes, a member of the Nepal-India Industry Association, has received support from the association to address the export barriers facing Goldstar.
Vidushi Rana, Executive Director of Kiran Shoes, stated that she would provide further details on the matter later.
Baburam Adhikari, Joint Secretary at the Ministry of Industry, Commerce, and Supplies, confirmed that an Indian technical team had visited Nepal earlier to inspect the Goldstar shoe factory. However, he stated he was unaware that BIS certification had already been granted.
Kiran Shoes manufactures and distributes a variety of footwear, including Goldstar and Haathi brand sandals. A significant portion of its products is exported to India. According to the company’s website, its factories employ over 3,000 workers and are located in various parts of Kathmandu. The company also plans to establish a factory in the Bhairahawa Special Economic Zone to produce shoes and slippers.
Government officials have speculated that India's tightening of BIS regulations might be linked to Nepal's ban on the import of nine types of foreign dairy products, which has impacted Indian dairy exports. Discussions are reportedly underway to lift this ban.
Despite the stricter BIS requirements affecting Goldstar exports, overall shoe exports to India have increased in the first four months of the current fiscal year. Apart from Goldstar, other companies' shoes are also being exported to India.
According to the Department of Customs, 1.276 million pairs of shoes were exported to India in the first four months of the current fiscal year, compared to 869,000 pairs during the same period last fiscal year.
