US urges Nepali traders to utilise preferential benefits

The Embassy of the US in Nepal recently organised an event to encourage Nepali traders to make the most of the Nepal Trade Preference Programme initiated by the government of the US. The country has provided preferential trade benefits to Nepal on 66 different export products including scarves, shawls, carpets, bags, headgear, leather goods and more.

The programme is a part of US' Trade Facilitation and Trade Enforcement Act, 2015 that was introduced in December last year and provides duty-free tariff benefits on select products to Nepali traders until 2025. It was initiated to contribute to Nepal's economic growth after the earthquake in April 2015.

Mark Linscott, assistant US trade representative said at the event that Nepal's private sector should export products that enjoy duty-free access to the US. He also urged traders to meet technical requirements decided by the US government for various products.

The implementation of the trade preference programme will make Nepali products more cost-effective in the US market, said Nepali media reports quoting Alaina B Teplitz, US Ambassador to Nepal.

Nepal is losing its trade surplus in the US, according to Bhawani Rana, president, Federation of Nepalese Chambers of Commerce and Industry. He added that both Nepal and US governments should assist Nepali traders to benefit from duty-free trade access and increase exports.

Commerce minister of Nepal Romi Gauchan Thakali has urged the government of US to include some other goods like readymade garments to the list of products that enjoy duty-free access to the US.