Increasing Carpet Exports Marketing Needs Attention

-By Bagala Basnet

INTERNATIONAL marketing can be said as the carrying of marketing outside the national boundaries. Due to the rapid growth of communication, transportation, and financial flow, the world has become nearer and they have created new marketing opportunities and challenges to the entrepreneurs. Given these circumstances, it can be viewed that companies either has to respond to the challenges posed by this new environment or recognise and accept the long term consequences of failing to do so.

Vital Role
Marketing across the border plays a vital role in the economy of any country, more so in the economic development of under-developed countries like Nepal. It is known as the vehicle of economic development. With the effect of international marketing, Nepal can expand its market and import technology from abroad. Besides these, it can help to increase the standard of living of the people by providing opportunities to go abroad as well as establish huge industries inside the country through joint ventures in various sectors of the economy.

Carpet industry has been flourishing with the development of international marketing. There is no doubt that Nepal is famous for the production of woolen carpet from the very beginning especially in the hilly region. It has done much progress for the production of standard carpet in the Fiscal Year 2017/18 B.S. However, the records show that export had started regularly only after 2026 B.S. Now it is viewed as the main source of income for the country and it has been providing lucrative employment opportunities to the people mainly the women.

At present, the number of hand knotted woolen carpet manufacturers and exporters are numerous, and they have been exporting their products to overseas countries especially to Germany, Belgium USA, UK and Japan.

The exports of hand knotted woolen carpets have contributed greatly in the improvement of balance of trade of our country. The total income earned from exports to overseas amounted to Rs. 770.37 million in the fiscal year 1994/95. It has been making much progress during the following years. As a result, the earning generated from this industry has increased to Rs. 803.22 million in the year 1995/96 and Rs. 914.46 million in 1996/97. However, there has been slight decrease in the subsequent year 1997/98, which amounted to Rs. 851.63 million.

The above figures show that through there is an expanding carpet market overseas, however, those who have involved in the export trade, they should have to spend much time and effort for the development and expansion of its market. The demand for this product can be increased substantially only when they try to identify and solve the constraints hindering it.

According to the view expressed by the number of carpet industries one of the obstacles for its development is the limited market for the product. 80 per cent of the carpet market is Germany and the demand for woolen carpets in USA, Japan, UK and other countries are very negligible.

Besides this, the child labour issue created a very vulnerable situation and it has also plagued Nepalese carpet exports for the last few years. However, the prospects for its promotion are very high if they do thorough market research for the product.

Research is necessary for identification of procurement sources, for quality improvement, cost economisation, preference identification, process efficiency, market exploration and expansion of the product. There is no adequate institutional infrastructure for this purpose. However, the exporters can consult private as well as foreign consultancy for way and means to enhance exports.

Besides this, quality control can be regarded as the basis for the development of the carpet market. It is found that there is a great difference between the procedure followed by the registered and unregistered firm in their carpet production process. Different firms have been using different processes for its production especially in weaving, cutting and dying. A few years ago, all the production would be carried out by manual method, while, at present these functions are being carried out with the help of machines.

It is very difficult for Nepal to compete in international market to promote exports. Cost increases because of transportation expenses in transit across the Indian territory. If there is no improvement in quality, it is not possible to sell poor quality goods at high prices. So, it is a necessity for the concerned department as well as the exporters to pay their full attention to set the minimum standard for the products.

Furthermore, for an industry like the carpet one, there is need of highly skilled manpower and technician to maintain its quality. However, in Nepal there is no such institution, which supply highly qualified manpower for such an industry which is giving high returns. Looking upon its economic contribution to the national income it can be realised that there should be provision for the establishment of a school, which can provide training to the people relating to the process of weaving, cutting and dying.

Export credit is also one of the paramount factors to take into account for the promotion of carpet exports abroad. Exporters require credit to finance export operation. However, Nepal’s financial institutions are shy in providing export credit to carpet entrepreneurs and this requires necessary measures to stimulate them to increase export financing.

Policy
Finally, it can be said that export can only flourish when the industrial and trade police of the government follow the time. However, the commercial policy of HMG undergoes frequent changes and exporters and importers cannot remain sure. They prepare programme in consideration of current policies, which may become useless, if unfavourable policies come up. So the government as a supreme body, it should create a favourable atmosphere for the development of international market by not radically changing its policy frequently.

Steering The Nation In Right Track

-By Khilendra Basnyat

AFTER the restoration of democracy in Nepal, people hoped that democracy would bring about progress and prosperity. However, the last nine years have seen a decline in euphoria that had arisen in 1990.

Downward Trend
During this period, economic development took a downward trend. Instead of institutionalisation of administration to make it function independently and more efficiently it was practised and suppressed. Consequently, its delivery capability has been reduced and its potential underutilised.

The frequent transfer of bureaucrats to meet their vested requirements and not for the requirement of the development of nation and its people had resulted in heavy loss in most sectors.

Donor countries and well-wishers of Nepal seemed to have lost their faith in Nepal due to frequently changing policy and rampant bureaucratic reshuffle. For instance, World Bank pulled out from the mega projects like Arun III due to lack of financial discipline and commitment at the higher level.

Economic progress would have way for the restoration of social justice in the country but there is a lack of proper policies and strategies to suit the present global context of economic liberalisation and globalisation.

All the political parties have more or less accepted the concept of economic liberalisation and globalisation but have not thought of the impact the new concepts will have on the national economy.

The economic policy adopted in 1991, which lays emphasis on liberalisation and privatisation of the national economy, has intensified social injustice, a result of "unequal distribution of resources" which has not been fruitful for the development of the country.

Even the ordinary people have clearly admitted the deficiencies of the country’s economy and the need for quick action plans to boost it.

The foreign aid, which finances nearly 60 per cent of the country’s budget, has worsened situation. It would increase Nepal’s dependence on others which would lead to unbalanced development activities across the country.

Foreign aid has become a hurdle to Nepal’s self-reliance. It seemed to have failed to address the prevailing problem of social injustice.

Social justice has been a far cry even ten years after the restoration of multi-party democracy in the country. Political parties should have a clear vision in ensuring equal social security to people of all class and sex. The target of development activities should be the people deprived of opportunities.

All political parties are responsible for the unequal distribution of opportunities and the ensuring social injustice that severely deprives the underprivileged people of their basic rights under the democratic system.

The unequal distribution of educational and health opportunities has widened the gap between haves and have-nots worsening the condition of Nepal’s deteriorating social justice system. The government should seek root cause of the social injustice and curb it before it worsened.

Corruption is deep rooted in Nepali public life. No sector remains unaffected by it.

In fact, corruption is not a recent problem in Nepal. It has been here since time immemorial. However, that has been a matter of grave concern is the rapid manner in which the level of corruption has escalated.

Corruption has hindered national development had has posed a serious threat to the democratic system. It has not only caused a negative impact on the nation’s economy but has also weakened the whole social life of the people in general.

Corruption has found widespread coverage in media and basically every citizen is aware of this evil. This evil, although a disgrace to the nation, has become a fact in our life. We are living with this reality, however bitter the taste. The phenomenon continues unabated in spite of formulation of act, media coverage and public awareness in general.

Although the budget statement of this year has made a reference to corruption control, it lacked in concrete programmes for checking corruption.

Cabinet members at present are both old and new hands. Their righteous conduct and attitude will determine the path the country is to take. Any deviation from the right path may not be forgiven by the people.

Everybody seeks peace because without it normal life becomes disturbed and development also cannot take place. However, in recent times the people have been disturbed because of the increasing breakdown of law and order and the resorting to violence, especially in the Maoists influenced areas.

The Maoist violence has become a huge threat for the general people. The government has called upon the Maoist terrorists to come to table for the talks to find solution. Since the government alone cannot tackle this huge challenge, national consensus should be built to resolve this issue.

Despite repeated talks, the Bhutani refugee problem is still unsolved. Therefore, national consensus is essential to solve this issue.

Border dispute in the Kalapani area and the difference of opinion regarding the origin of the Mahakali river are other issues that the present government should take up with India as soon as possible. The government should concentrate more on prudent diplomatic efforts for these issues.

The present government should accord top priority to implement the Mahakali River Integrated Development Treaty (MRIDT) and the preparation of Detailed Project Report of Pancheswore multipurpose project to the mutual benefit of both countries. Although the treaty provisions stipulate that the DPR of Pancheswore should be completed within six months of the exchange of treaty instruments, this task still remains incomplete.

The multifaceted problems of the country needs careful and proper solutions. Rhetoric alone will not pay. The goods have to be delivered which means that the government has to work overtime to make good the time and opportunities granted by the people in the form of the mandate given to the Nepali Congress Party to run state affairs.

The majority of the Nepali Congress in the lower House makes it easy for it to pass any bill without the support of any party. However, it may be beneficial if other parties are also taken into confidence.

The emphasis on consensus should not be taken lightly. To build consensus on matters of national importance paves the way for the implementation of action plan when the support of all is present.

Right Direction
For the second time Nepalese has given the Nepali Congress party a mandate to rule the country after the restoration of democracy. Those in the government should bear in mind that the people will throw them out of power if they fail to steer the country in the right direction.

Varieties Of Students

-By Rishi Ram Paudyal

NOT all students go to college for the sake of receiving education. If they did and would, the world around us would not have been in the present state. Many students come and go without bringing any change in their lives or their country’s and the education institution seem to be left like legacies. Time changes fast but these institutions remain almost the same as ever. Some go there to try their luck with girls, some go there for the sake of politics, some go there because they don’t have anything else to do or there is no other place where they would like to go. Others go there to become notoriously popular. However, there are a few students who go there for the sake of education.

Many students think that college education is much simpler than school education. They do so because they have seen, especially government college students lingering in the campus premises as if they are taking a leisurely walk in the park to take a break from their week long hard work. They also come to know that they can pass their exams in instalment basis.

Therefore, many students take college education very lightly when it should have been just the opposite. Some think that they won’t be able to pass their exams only by attending regular classes so they tend to be irregular or remain absent from classes the whole academic session. These students want to pass their exams reading guide books or cheating in the exams. Some even think that they can’t pass exams without receiving private tuition classes. So they feel it a compulsion to join a coaching centre. Some students also think that having private tuition from their respective teachers means high probability of passing their exams with excellent grades.

In the first month of the college, time passes for many either by looking at the girls or trying to get used to a new environment or trying to understand what the teachers in the class are endeavouring to convey or trying to make friends.

From the second month almost every student chooses his/her way. Those who have had luck to be a pair often go out to find a cabin restaurant. Those who are interested in politics gather and organise a picnic programme or other functions. Those who want to be notoriously famous either stand at the windows and tease girls while the class is on. They don’t even hesitate to tease the teachers in the class.

Those who have little knowledge and are foolish but who want to be known among students ask the teachers questions which are obvious and which they already know or questions which are out of context. Those who have come to college for the sake of education, respect their teachers in the first place. They are quiet in the class when a lecture is being delivered and if they don’t understand anything or if they have anything to ask they do so in a decent manner. They (try to) respond to teachers when they are asked questions. They bring the books and other materials which they are supposed to bring with them. The utilise the library and other facilities available and spend their time in a most useful way. At home also they don’t kill their time but utilise it for their studies. These are the students who pass their exams genuinely. The other varieties of students either fail their exams or pass it by cheating. These types of students whether they pass or fail cannot contribute as much to the nation as the genuine students can.