Kattha exports rise on strong South Asian demand, raw material shortages persist
Summary
Nepal's kattha exports have risen significantly due to strong demand in South Asian markets like India, Bangladesh, and Pakistan, despite persistent raw material shortages.
Key Points
- Kattha exports from Nepal increased by 13.53 percent to Rs1.51 billion in the first eight months of the fiscal year due to rising demand in South Asia.
- Nepal is a key supplier of kattha to India, marketing products like 'Sugam Nepali Kattha' and exporting byproducts used in tanneries.
- Production is concentrated in eastern Nepal, with around 10 factories employing about 2,300 people, but growth is limited by raw material availability, especially khair wood.
- Industry advocates call for government support to improve raw material supply and promote commercial plantations to boost export potential.
