Assessment of Nepalese Garments Industries
Name of Client:
Adam Smith International, SAMARTH – Nepal Market Development Project (NMDP)
Duration of assignment (months):
Start date (month/year):
Completion date (month/year):
Location within country:
Total No. of staff-months of the assignment:
Kathmandu, Biratnagar, Birganj
Narrative description of Project:
SAMARTH–NMDP embarks on a market intelligence study to identify specific gaps and demands pertaining to the Nepalese Garment Industry, which has been identified as one of the prime exportable commodities. The Ministry of Industry lacks the market intelligence to identify the specific gaps in the industry to meet the international demands, while weak trade linkages, and lack of sustainable B2B information systems continue to represent barriers to trade development. Presently, the Ministry of Industry is the nodal government agency for the DF|D-funded Samarth-NMDP project, which promotes systemic market development. Thus in its capacity as the main implementing Ministry of Samarth-NMDP, the Mol has requested support from SAMARTH-NMDP in commissioning a comprehensive overview study of the Nepalese Garment Industry. Innovision Consulting is awarded to do the market study for Ministry of Industry of Nepal and SAMARTH – NMDP.
Description of actual services provided by your staff within the assignment:
As part of the market intelligence study, Innovision was responsible for the following:
- Provide a market overview of the Nepalese garment industry (trends in world trade, main products, main producers and markets).
- Conduct in-depth value chain and market analysis of the garment industry: This must include assessment of the end market and the capacity of Nepal garment industry to meet and fulfil this demand and potential. Further, how the market is working (or not working) to meet these new requirements, why the market is not working, identification of systemic constraints for under performance and potential market based solutions.
- To map and provide an overview of Nepal’s Garment Industry actors.
- Assess the will, skill, capacity and incentives of the market actors to provide potential market based solutions.
- Undertake specific linkages analysis to include forward and backward linkages relating to the garment sector.
- Recommend strategies for market penetration, niche marketing and attaining competitive advantages in supply of the various products.
Recommend strategies for overcoming the identified constraints based on formal / informal dialogues with the Nepalese private sector including, but not limited to, Garments Association Nepal (GAN) and Federation of Nepalese Chamber Of Commerce & Industries (FNCCI).