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Nepal Trade Integration Strategy 2010

Nepal Trade Integration Strategy 2010. Implementation Issues – Perspectives from the Private Sector. hemant dabadi Federation of Nepalese Chambers of Commerce & Industry (FNCCI). NTIS 2010 - Preliminary analysis.

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Nepal Trade Integration Strategy 2010

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  1. Nepal Trade Integration Strategy 2010 Implementation Issues – Perspectives from the Private Sector hemant dabadi Federation of Nepalese Chambers of Commerce & Industry (FNCCI)

  2. NTIS 2010 - Preliminary analysis • The strategy looks impressive based on thorough analysis and seems to be a good beginning • Will have distinct positive implications if we can implement them and there will be results as envisioned in the strategy • identified products and services (19) • Action matrix in general and swot analysis for each product

  3. On a more deeper analysis Have we gone thru the previous strategy / strategies ? were they a success? If no what were the reasons? This question seem to remain unanswered in almost all our strategies Example NTCS 2004 identified labour reform or reform in income tax system(with regard to training) but almost nothing has happened

  4. On a more deeper analysis The carpets and garments were still part of the product studied in 2004 NTCS. but in the present study these products did not get mentioned. The ITC study of 2007 had identified cut flowers as item with high export potential. it is absent in the NTIS list. Honey figured as product with low potential and low or limited socio economic impact So products seem to be coming to and going out of list Top products being exported to India not in the list (textile, yarn, garments etc)

  5. On a more deeper analysis The identified products are more detailed (example in 2004 NTCS agriculture mentioned, In NTIS, tea, large cardamoms, ginger etc identified) but potential impact or coverage not the same (for example is labour services comparable with Engineering services) The competitiveness /competitive advantage does not merely depend on resource/market endowment, it can be created with deliberate attempt (technology, human resource development)

  6. So let us discuss and decide : what products and services we would like Nepal to be known for (Where Nepal has an edge) ? Next Question Is that achievable ? If yes, develop and implement the strategy to develop that product (At least Some will succeed)

  7. So let us discuss and decide : Strategies for each product What services/facilities the government will give What mobilisation it will do to get the product exported What is the time frame for providing services (Human resource development, Technology, Infrastructure , Support services, Technical standards, help in negotiations and marketing Could and should be the focus of product specific strategies

  8. NTIS and Private sector Almost nothing mentioned of the private sector But success will depend on will the private sector take cue from this strategy and work accordingly Many of the promotional and service functions could be delegated to the private sector institutions

  9. Private sector and NTIS Future TA s should also get involved with private sector Government and private sector need to act in tandem Service functions – delegate to the private sector, but ensure accountability , openness

  10. Private sector and NTIS Private sector is involved in almost all issues mentioned in the NTIS. Private sector institutions - more effective in delivering the services Implications too on the private sector Capacity Building of the private sector institutions – a must for success of NTIS

  11. Private sector and NTIS Private sector instructions too - do not replicate each others job (do not fight for the same piece of the cake Government need to facilitate cooperation among pvt sector institutions rather than play one against another Give direct role in implementation, not merely advisory

  12. FNCCI By its sheer size, network, presence is a natural leader of private sector institutions It be accorded a formal coordinating facilitating role ( longer term not instantaneous) Ways and means to finance its activities connected with the role

  13. In conclusion Three most important issues hindering export as of today Insecurity (both physical and institutional) Labour Issues Energy If we do not discuss and decide on these three Holy cows, talking of expanding export would be merely exercise in a virtual world

  14. THANK YOU

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