Lately India is a buzz with plywood coming from Nepal. Indian markets mainly falling in Northern and North eastern belts are witnessing decent arrival of MADE IN NEPAL plywood. The number of lorry’s being dispatched to India is a proof of Indian market becoming a major survival basis for Nepal based plywood industry market growth
Since Nepal currently has plenty of timber available hence despite of being in very low density of plywood the Indian market is selling this material as cheap substitute of India made plywood. Evidently timber availability is quite good for the plywood industries there unlike India at present the situation is very scary and struggling for plywood manufacturing due to the non availability of peel-able timber.
It is also a factor due to very sluggish plywood demand scenario in Nepal for self-consumption. The slowdown in the economy has dropped their sales of plywood in Nepal by 50%. In that situation their plywood products demand in the India market has become a survivor for their plywood industry.
Talking to Ply Reporter Mr. Hom Prasad, President, Nepal Plywood Manufacturers Association said, “The Nepal economy has been facing slowdown, and the demand of entire building materials products along with plywood has been affected the entire year. But the good demand from the Indian market has saved us, and most of the plywood units are exporting materials to India, and it is growing.”
The manufacturers in Nepal say, “Our products are more economical than Indian because of our good availability of raw materials – timber, which is sustainable here. In Nepal, the production of Shuttering Plywood, Doors and Laminates are also growing, because of new plants and going on expansion in the existing units.”
It is to be noted that nearly 75 plywood manufacturing units are operational there, spread in different areas such as Jhapa, Kathmandu, Bhairwa, Nepalgang, Birthamode, Krishnanagar etc. They use majorly UTIS timber, which is abundantly available in Nepal.
Nepal makes plywood at nearly 20% economical than in India made and is available in the market at Rs 40 to 45 that is posing stiff competition to the mid-segment plywood players in India. The Nepal made plywood has been reaching in north India, Rajasthan, central India markets, and Maharashtra.