Industrialists seek govt support to maintain access to Indian market

Kathmandu, Oct. 12: The jute industries in the country have urged the government for diplomatic measures to ensure seamless entry of Nepali products to the Indian markets. 

They also demanded full implementation of the directives for the use of domestic goods in public offices, and use of jute bags instead of polythene. 

Stating that Nepali jute has lost almost 95 per cent of its market share in India after the latter imposed anti-dumping duties. According to the entrepreneurs, India is also considering imposing counter-veiling duties as well. 

On 29 September 2025, India’s Directorate General of Trade Remedies (DGTR) initiated an investigation into countervailing duties on jute products imported from Nepal and Bangladesh. Last month, the DGTR published its final findings, recommending the imposition of countervailing duties on some Nepali jute producers.

“This puts the jute industries in a critical situation. They have already invested in product diversification and modern machinery. The government should rescue us from this current crisis with priority,” said Somnath Adhikari, General Secretary of the Nepal Jute Mills Association (NJMA). 

He said that the government should hold a high-level talks with India to bail the industries out of the current crisis. As the government is preparing for the visit of Prime Minister Balendra Shah to India, a delegation of industrialists from Biratnagar submitted a memorandum to the government last week which also includes the challenges faced by the jute industries.