These markets account for more than 50 percent of the market share.

According to the statistics of the Federation of Handicraft Associations of Nepal (FHAN), exports to these four countries declined by around 15 percent in 2009/10. Nepal exported handicraft worth Rs 1.42 billion in 2009/10 compared to Rs. 1.66 billion in 2008/09.

The flippancy on the part of the government towards promoting exports coupled with the global financial meltdown was mainly responsible for dogging the handicraft exports in FY 2009/10.

The decline in exports also led to a huge balance of payments problem during the second half of the last fiscal year.

The US, the prominent importer of Nepali handicraft goods, imported goods worth Rs 739.48 million in the last fiscal year while the figure was Rs. 871.80 million in the previous fiscal year.  Likewise, exports to Germany also slowed down to Rs 318.69 million, a decline of Rs 2.56 million from the last fiscal year.

Nepal's exports to the UK and Japan also plummeted by Rs 199.26 million and Rs 164.69 million respectively last year from Rs 235.91 million and Rs 229.71 million in the previous year. nepalnews.com