Investment in Tile Industry Increasing

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Investment in Tile Industry Increasing

August 1: The tradition of using floor tiles extensively in Nepal is believed to have started only a decade ago.

The businessmen who have been working in this field say that the use and demand of tiles is increasing both for residential and official buildings.

According to the data of the Department of Customs, Nepal imported tiles worth more than Rs 10 billion in the fiscal year (FY) 2078/79.

According to the department, a large amount of ceramic tiles are imported from India and China. Tiles are also imported from Indonesia, Malaysia, Vietnam, Bangladesh, Spain and other countries. The data indicates good prospects for the future of the tile industry in the country.

Based on this assessment, businessmen have started investing in such industries. Some of the industries are operational and some are under construction. According to the Department of Industry, the process of registration of new tiles industry is also underway.

The tiles industry of Prime Ceramics Pvt Ltd has come into operation recently. The company has been producing and selling tiles from a factory spread over an area of 10 bighas of land located in Brindavan Municipality-6 of Rautahat for about one month.

According to the company, the latest Italian technology has been installed in the factory. It is fully automatic. The company has invested Rs 25 million just for land. The company says that it has invested Rs 2 billion in total for land purchased and equipment.

The industry has given employment opportunities for the local residents as well as workers from neighboring districts and neighboring India.

Pradeep Kumar Jha, the general manager of the company, said that although the target of the industry is to produce tiles of 11 different sizes, they are currently producing 5 different sizes of tiles.

"The production capacity is 150,000 square feet of tiles per day," Jha said. "The industry will run in full capacity within the next six months, which will create more jobs."

The industry has given employment to 300 people. Jha said that customers in Nepal can avail domestically produced tiles at 20 to 25 percent cheaper than the tiles coming from the international market.

The industry is currently sending three truckloads of tiles to the market daily. According to Jha, 45 percent of the production goes to Kathmandu. Jha says that Kathmandu Valley is the main market at present. The rest of the production is being sent to other cities in the country.

The industry, which is thinking of exporting its product to India as well, has filed an application with the Department of Mines and Geology seeking for permission to use the red clay as a raw material. According to Jha, the industry is using most of the raw materials from Nepal.

The industry is producing tiles in two dozen colors. General Manager Jha also claimed that their products are of high quality and have the ability to compete with international brands.

 

 

 

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