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Exporters distressed at indefinite strike
KATHMANDU, APR 28 -
Nepali exporters, already rattled by falling production, plunging exports, endless power cuts and a high rate of absenteeism, have been distressed by the call made by the UCPN (Maoist) for an indefinite strike.
Many exporters are trying to fulfil their orders before the strike which is scheduled to start Sunday. However, they have been hamstrung by load-shedding, low production and bunking off, say entrepreneurs.
"During the last few days, 12-15 percent of the workers have been absent from the factories," said Shankar Prasad Pandey, president of the Nepal Pashmina Industries Association. "We want to expedite production and ship the products early, but there is neither power nor a sufficient work force. We have already lost our goodwill and credibility among international buyers."
Currently, there are around 20 pashmina factories in the country and they have been exporting their products worth Rs. 134 million per month to countries like the US, Japan, the UK, Germany, France and Italy.
Traders said that the call for an indefinite strike by the Maoists had sent a negative message to potential importers worldwide at a time when the business sector was already suffering from frequent bandas, strikes and power and labour problems.
According to Speedway Cargo, which has been shipping Nepali products worldwide since 1989, the export business is in a very pathetic condition as it is losing the capacity to fulfil even the reduced orders on time.
"Their production is declining because of power and labour problems. This has made them unable to dispatch their goods
on time despite their efforts," said Raju Shrestha, managing director of Speedway Cargo. "Moreover, as the export procedure has become very complicated, many potential exporters are not able to prepare the required documents."
The immediate past president of the Federation of Handicraft Associations of Nepal, Pushkar Man Shakya, said that exporters were only accepting orders from buyers willing to put up with possible delays in shipment.
"If we fail to make the delivery on time as a result of bandas, impatient importers may cancel the order and even demand compensation," added Shakya. "We found it better to accept only limited orders from our old and friendly clients."
Handicraft exports have declined by 12.15 percent to Rs. 1.47 billion in the first six months of this fiscal year compared to the same period previously. Pashmina, woollen goods,
felt products, silver jewellery, handmade paper products and metal crafts are some of the major handicraft products popular among international customers. Some 450 handicraft firms have been exporting Nepali handicraft to over 65 countries worldwide.
Posted on: 2010-04-29 07:44
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