Speaking at the closing ceremony, Ambassador of the European Union to Nepal, Véronique Lorenzo said the TIP has been instrumental in enhancing the country’s trade and investment capacities and reiterated the EU’s commitment to continue supporting Nepal’s graduation to a middle-income country.

“Our cooperation wishes to strengthen Nepal in the multilateral trade system,” Ambassador Lorenzo said. “However, we must be aware that the graduation may affect Nepal’s trade, particularly exports to European and other markets.”

This is because the EU’s Everything But Arms (EBA) scheme will not be available for duty free exports to Europe after the three-year transition period following graduation in 2026 ends.  The Ambassador also stressed the need to create employment in Nepal, and said she wished to see more Nepali products in European shops.

H.E. Lorenzo added that the EU offers to Nepal access to Generalised Scheme of Preference Plus (GSP+).

For trading under GSP+ Nepal would need to make an application and ratify the required international conventions on human rights, labour rights, environmental protection, climate change and good governance. Most importantly, the conventions will need to be implemented.

The Ambassador also spoke about some achievements of the TIP.

Under the trade component, TIP supported the development of a National Pashmina Sector Export Strategy, the establishment of a Pashmina Fiber Processing Centre, and the training of over 2,500 coffee and pashmina producers and exporters.

For sustainable graduation from LDC status, TIP supported enhancements in trade negotiation skills for Government officials and collaborated with private sector associations and other civil society organizations to review the policy framework with a gender lens, conduct public-private dialogues and develop recommendations on gender-friendly policies.

Similarly, the investment component was instrumental in supporting Nepal’s efforts to improve the investment climate and attract foreign direct investment (FDI). “The EU-Nepal Business Forum is an excellent example of our cooperation in trade and investment by bringing together Nepalese and European investors as well as making public and private sector join forces to progress on reforms”, Ambassador Lorenzo said.

Another achievement is the formulation of Nepal Trade Integration Strategy 2023 and support to the One Stop Service Centre (OSSC), including capacity building of both Government officials and other stakeholders.

A representative of the Ministry of Industry, Commerce and Supplies, Lila Dhar Adhikari said “TIP has been an important milestone in Nepal’s economic journey.” He also expressed gratitude for EU’s support to the programme and towards LDC graduation.

Team leaders of both components of TIP made presentations on the achievements at the closing ceremony, which was attended by Government officials, representatives of private sector associations, civil society and other project beneficiaries. Representatives of different private sector associations also spoke at the event.

The Deutsche Gesellschaft fuer International Zusammenarbeit (GIZ) managed the investment component, and the trade component was managed by the International Trade Centre (ITC).

XX ENDS XX

For more information:

Prabhakar Ghimire, ITC

Email:              [email protected]

Mobile: 9841564442