May 9: Nepal has been exporting shoes manufactured in the country to 17 nations, including India. Nepali shoes, which used to be exported only to India in the past, are now available from the Gulf countries to developed countries like the USA, the UK and Japan.

Domestic shoe manufacturers are excited that the Nepali shoes have entered the international market. They say that the shoes could be  exported to more countries that with the help of the government. 

Nani Raj Ghimire, president of the Shoe Producers Association of Nepal, said that domestic industries are currently producing less shoes than their capacity.

Stating that the footwear export which was limited to India has now reached more than 17 countries, he said that the volume of exports could be increased with the help of the government. "Earlier, we had problems in exporting shoes due to poor quality," he said.

If the Nepali shoe industries operate at full capacity, they can produce 160 million pairs of shoes annually. According to the stakeholders, shoe production started to gain momentum in Nepal since 2070 BS. Domestic shoe manufacturer had invested heavily in production before Covid-19. The investment has been affected heavily in the last two years due to the pandemic. According to businessmen, more than Rs 30 billion has been invested in 1,500 industries.

Nepal's internal demand for footwear is 100 million pairs annually. According to President Ghimire, more than 30 million pairs of shoes have been exported to different countries in recent times. Footwear entrepreneurs said that the volume of export can be increased and the basis for long-term export can be made if government agencies like foreign embassies and consulates help in promotion by setting up separate desks. They complained that there are problems due to unstable interest rates and lack of provision for industrial loans.

At present, industries are not operating at full capacity. "The footwear industry produces only 35 to 40 per cent of the total capacity," he said, adding that "It meets 65 per cent of the domestic demand."

"Currently, more than 50,000 people are directly employed by footwear industries," Ghimire said. "With the help of the state, it can be increased to 75,000."