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Sanitaryware market on the rise as Nepal modernises

The sanitary ware market of Nepal is witnessing considerable growth, thanks to a rise in the construction of residential and commercial buildings, especially in city areas.

Traders say the market has reached Rs 8 billion, although the official import figures are low.

In the last fiscal year, Nepal imported sanitary ware worth Rs 2.77 billion from India, according to the Nepal Rastra Bank (NRB). As of the first half this fiscal year, the imports stood at Rs 1.64 billion.

But the dealers said the products are also being imported from China Spain, the US and Italy, which the NRB statistics do not reflect. Somany, Kajaria and American Standard are some of the established brands in the Nepali market.

“As sanitary ware are an essential part of building construction, the market for such products has been on the rise,” said Pradip Kumar Jha, senior territory manager for Nepal of Somany India. “Somany saw a 25 percent growth last year.”

The Kathmandu valley is the largest market for the products. A study of the Kathmandu Valley Development Authority shows there was 394.12sqkm of agricultural land in 2000, which contracted 13.2 percent to 342.08sqkm in 2010. Over the period, the valley witnessed a 103.96 percent growth in residential areas and 106.35 percent rise in mixed residential and commercial areas.

Not only in Kathmandu, the sanitary ware market is witnessing growth across the country, especially in urban areas. With the latest additions, the country now has 191 municipalities, with no VDC in Kathmandu and Bhaktapur districts. With rising income of the people, particularly due to remittance, there is a growing trend among migrant workers to settle in city areas, resulting in a construction boom. Jha also said remittance has played an important role in the growth of the sanitary ware business.

Seeing the potential, India’s Nobel Wall Tiles and Sanitaryware entered the Nepal market with “digital wall tiles” under ‘Specto’ brand three years ago.

“As a modern bathroom has become the showpiece for the people, the desire for modern sanitaryware is dramatically increasing in countries around India” says Bhupinder Singh, Deputy CEO of MMI India, the organisers of next year’s Indian Ceramics 2016 exhibition, the eleventh in the series, and the tenth in the current format.

“With such rapid expansion in demand, it is not surprising that the sanitaryware sector on the sub-continent is now demanding better technology, and why suppliers are continuing to flock in greater numbers to the exhibition” he added.

With more than 50% of the floor space already booked for next year, make sure your company does not miss out on the action. Contact Tarun Marwah at tarun.marwah@mmi-india.in

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