Indian anti-dumping duties put Nepal’s jute industry under pressure
Summary
India has sharply raised anti-dumping duties on Nepali jute products, putting heavy pressure on manufacturers in eastern Nepal that rely on the Indian market. Industry leaders warn the higher charges could squeeze profits, raise prices and threaten jobs across the jute supply chain.
Key Points
- India has increased anti-dumping duties on Nepali jute products, with some rates rising several times for hessian fabric, jute bags and yarn.
- Nepal’s jute industry depends heavily on India, which buys most of its export volumes and offers few short-term alternative markets.
- Industry leaders say the higher duties, combined with the end of Nepal’s export subsidy, are intensifying pressure on mills, farmers and workers.
- Business representatives have urged the Nepali government to pursue high-level diplomatic efforts to convince India to roll back the duties.