15 eastern textile factories down shutters
BIRATNAGAR, June 24:
All textile factories expect one were closed in the eastern region, pouring investment worth over a billion rupees down the drain.
Unable to face stiff competition with ready-made cloth imported from India, 15 textile factories had closed and only one factory is in operation. Ashok Textiles, Sah Factory Pvt, Diamond Textiles, Jagadamba Textiles, Star Textiles, Prabhat Textiles and DK Textiles are among the closed factories.
The only factory in operation is Pragati Textiles Industry situated at Khanar of Sunsari. Insecurity, bandhs and strikes are said to be the main causes of the closure of these factories.
The open Nepal-India border has proved to be a boon for garments made in India. Clothing items bearing ‘Made in India’ tags are in high demand in the eastern region because of their cheap process. Absence of market regulation and lack of government relief to hard-up factories at home is also to blame for the closure, said Manager of Pragati Textiles Pradeep Niraula.
The annual production capacity of Pragati Textiles is 2.5 million meter. However, it is producing only 1.6 million textiles. It is also planning to export textiles to India.
Recalling old days, a trader of Biratnagar, Rajesh Gupta, said Indian people used to come to buy cloths in Nepal in the past year, now Nepalis go to not only bordering market, but also to Kolkata.
Source: THT
All textile factories expect one were closed in the eastern region, pouring investment worth over a billion rupees down the drain.
Unable to face stiff competition with ready-made cloth imported from India, 15 textile factories had closed and only one factory is in operation. Ashok Textiles, Sah Factory Pvt, Diamond Textiles, Jagadamba Textiles, Star Textiles, Prabhat Textiles and DK Textiles are among the closed factories.
The only factory in operation is Pragati Textiles Industry situated at Khanar of Sunsari. Insecurity, bandhs and strikes are said to be the main causes of the closure of these factories.
The open Nepal-India border has proved to be a boon for garments made in India. Clothing items bearing ‘Made in India’ tags are in high demand in the eastern region because of their cheap process. Absence of market regulation and lack of government relief to hard-up factories at home is also to blame for the closure, said Manager of Pragati Textiles Pradeep Niraula.
The annual production capacity of Pragati Textiles is 2.5 million meter. However, it is producing only 1.6 million textiles. It is also planning to export textiles to India.
Recalling old days, a trader of Biratnagar, Rajesh Gupta, said Indian people used to come to buy cloths in Nepal in the past year, now Nepalis go to not only bordering market, but also to Kolkata.
Source: THT
