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Decline in Export of Processed Leather

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Decline in Export of Processed Leather
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December 25: The export of leather products from the eastern border of Nepal has declined due to lack of demand. Three industries of Province 1 had exported 2.4 million square feet of processed leather worth Rs 109.1 million to countries like India, China and European countries during the last fiscal year.

However, the industries failed to export the product to China and European nations due to the restrictions imposed in the wake of coronavirus pandemic.

In the first five months of the current fiscal year, Nepali industries have exported 160,000 square feet of refined leather worth Rs 5.4 million to India. The industries say they couldn’t export leather to China as the Chinese businessmen did not show up for the purchase. Similarly, there was no demand from European countries, according to the leather manufacturers.

In fiscal year 2075/76, leather products worth Rs 287.8 million were exported through the Biratnagar customs. But this year, not even half the amount has been exported, according to the customs officials.

Altogether 11 industries of Nepal are involved in processing raw leather into refined product and selling them to countries like Russia, Turkey, Italy, Latin America, China and India. Three of those industries are based in Province 1 while the remaining eight are in Birgunj.

 

 

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