India-EU free trade pact could squeeze Nepal’s garment exports as LDC graduation nears
Summary
India's free trade agreement with the EU may challenge Nepal's garment exports as it nears graduation from least developed country status, urging the need for strategic trade policies and government support.
Key Points
- India and EU concluded a free trade agreement expected to significantly boost trade between them.
- Nepal's ready-made garment exports to the EU, currently worth nearly Rs6 billion annually, face increased competition due to the India-EU FTA.
- Nepal's graduation from least developed country status raises concerns about losing trade facilities benefiting garment exports.
- Experts urge Nepal to develop trade strategies and seek support from India and the EU to mitigate impacts on garment exports.
