The Afghan Carpet Industry: Issues and Challenges

Sayed Nasrat () and Abdul Tamim Karimi ()

Economic Alternatives, 2016, issue 4, 475-490

Abstract: his paper describes the current issues and challenges that the carpet industry in Afghanistan is facing. The context of this paper is based on review of literature, policy papers and interviews carried out with public and private institutions, carpet producers/ weavers and sellers/traders. Millions of people are directly and indirectly employed and earn their income from this sector in major hand-made carpet producers and exporters of Asian countries including Afghanistan. The Afghan carpets export rose rapidly from USD 4 million in 2001/02 to USD 216 million in 2005/06. After six years the export trend considerably slumped to USD 44 million, which also abruptly affected domestic carpets production. The main issues and challenges found are: competition from other Asian carpet producers and exporters, lack of branding and market linkage, lack of access to finance, low quality raw materials, inadequate cut and wash facilities, lack of market research and limited training, endemic corruption etc. Considering the current unemployment and poverty condition, the cited issues and challenges of the industry should be tackled. To do so, there is a great need of huge and concrete attention plus strong cooperation by the Afghan government, private sector, donor agencies and NGOs.

Keywords: issues; industry; Afghanistan; carpet; challenges; markets (search for similar items in EconPapers)
JEL-codes: L52 L67 (search for similar items in EconPapers)
Date: 2016
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