In the 1950s, due to the open market economy and the government's policy of encouraging private investment, ready-made garments were also at the forefront of Nepal's foreign exchange-earning products. Carpets, pashminas and ready-made garments were earning foreign exchange.

Garment was the second foreign exchange earning Nepali product. Due to the implementation of concessions and quota system in the customs given by America, the export and market management of Nepali products became easier.

In 1992/93, ready-made garments worth 3.93 billion were exported from Nepal . In the year 1993/94, exports worth 5.94 billion rupees were made.

But when America started importing ready-made clothes from countries like Africa, Latin America and Russia, Nepali businessmen were panicked. Since January 1995, the General Agreement on Customs and Tariffs (GAT) was being prepared to be effective, the future of Nepalese clothing started to be worried.

According to the study prepared by USAID, it was mentioned that after GAT becomes effective, Nepal will have to make many improvements to maintain the market of ready-made garments. It was mentioned in the article published by USAID that emphasis should be placed on modernization of Nepali industry, impact on prices and original products. An economic recession had begun in America. USAID said, 'Nepal's second largest foreign exchange earning source cannot be said to be unsustainable in the future.'

According to the data up to August 2051, only 47 percent of the number 340 class shirts, which are in high demand in America, were exported at that time. The export of other garments was similar. In the past, there was an example of buying from other entrepreneurs even after paying a premium of Rs.

As the US is preparing to remove the quota system by 2005, the concern about what will happen to Nepali production has increased . Nepal Commercial Bank presented the data of 1994 and claimed that the export figures up to July increased by 51.5 percent over the previous year.

The proposal to reduce the quota of 16 to 18 percent of ready-made clothes in the United States from 1995 to 2002 was made public. Nepal had a problem because the clothes produced in Nepal were not of good quality and had to be imported from third countries. There was a majority of Indian entrepreneurs even in the American quota that was in place at that time .

Nepal sent a diplomatic note to the US after the export of ready-to-wear clothes was reduced and requested not to remove service facilities. At that time, there were more than 1,200 garment industries in Nepal and at least 50,000 were employed.

The news prepared by Shyam Ghimire was published by Kantipur on August 17, 2051 under the title "Prepared Garment Industry between crisis and success".

The garment industry, which has collapsed in two decades, is now expecting to get an opportunity to export again. According to Pashupatidev Pandey, president of Readymade Garment Industry Association, exports of 10 billion have started now, and there is a possibility of increasing.  According to the