Himalayan Allo Udyog

Creating a Sustainable Future with Alternative Fibers

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Author

Dikshya Nepal

Dikshya Nepal

School

People's Campus

People's Campus

Professor

Narayan Manandhar

Narayan Manandhar

Global Goals

1. No Poverty 5. Gender Equality 8. Decent Work and Economic Growth 12. Responsible Consumption and Production

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Summary

The allo industry collects raw nettle plants from their natural habitat with the help of local farmers and processes them to make clothes, carpets and bags. Handicrafts of allo fabrics now stand as one of the top export products of Nepal. Allo fabrics have become one of major source of income for local women in these areas. One definite advantage of having allo fabric is that they are totally bio degradable and the process is all natural.

Innovation

Allo is a natural fabric whose use has been ignored for years in Nepal. It is found in abundance in Nepal and yet not used for any significant purpose.

The innovation is quite simple. What is amazing is the impact it has been creating. The approach is to connect local farmers with processing factories to produce strong and the most finest allo fabric. HAU trains local women to process the plant. First, raw allo is obtained from the local farmers. Then the bark of the plant is extracted and is cooked in ash and water. It is then left to dry. Sometimes women just sell the cooked allo to the factory, others sell them as yarn with value addition. Converting to yarn is simple . It is done using simple tool called charkha or spinning wheel. Women perform this job during their spare time available after their household chores. In a male dominated Nepali society the little financial independence provided by extra earnings from allo gives these women a sense of freedom and power. The yarn is transported to to the factory located in Dang district, and is processed to weave fabric as per needs of the clients; the yarn is used to make clothes, bags and even carpets. Clients mostly include international ones from countries like Israel, Australia, India, France, England and the United States.

Previously ignored allo now stands as one of the top export items of Nepal. The allo products are often bought as souvenir. Knowing that the products they purchase come from fully sustainable resources, meeting all the environmental standards, clients happily purchase these products made of allo. One definite advantage of allo fabric is that it is favourable to any type of weather – hot or cold -. If treated properly, the fabric can be felt as soft as silk. Wearing the fabric can even help you to relieve your skin allergies.

Creating a Sustainable Future with Alternative Fibers

Inspiration

Mala was always inclined towards humanity. During her breaks after completing high school, she volunteered for an orphanage home. During her stint at the orphanage home, she came across a teacher who had idea of producing allo fabric. Just like most Nepalese, she never knew what allo really was.

She visited the area and was disheartened to see the plant being neglected. After learning about the unrecognized treasure commonly found in the forests of hills and mountains of Nepal she envisioned profitable and sustainable business opportunities. The other thing that inspired her was how this product could provide employment to local people and help improving their living conditions.

She started connecting to the farmers and began processing of the raw plants to yarn. At first, she didn't had machines to turn the yarn to fabrics so yarns were her only line of business . Eventually, her business grew and now HAU produces handicrafts, clothes, carpets and bags.

Overall impact

Poverty reduction is the major impact of allo production. Allo now stands as a bread winner for most families in these poverty sickened areas of Nepal. In a male dominated society, HAU has helped to empower and uplifted rural women to some extent. These women are now not only independent but also able to take care of their family needs. The allo business has changed life of thousand women in the remote areas of Nepal. Financial independence is factored in for women empowerment .

Allo supports national economy by becoming forex earner for the country. More than ninety percent of allo products are consumed in international market. These products are bought for its authenticity and quality. Allo products like clothes, bags and shoes have gained international recognition.

Allo fibers are all natural and bio-degradable. The products are made by utilizing the skills of women in the remote areas of Nepal. One definite advantage from allo business is that the processing do not require any kind of harmful elements nor it pollutes the environment.

Business benefit

Despite having to face hardships she now owns a business worth NRs 5 million ($42,000) which started with an initial investment of NRs 100,000 ($800). The raw allo plant bark which sells for Rs 150 to 200 per kg when processed into yarn could be sold at Rs 900 to 2500 per Kg. Similarly the fabric sells for Nrs 360 to 1200 per meter. There considerable value addition in processing of allo. Currently, the monthly sales of HAU is around NRs 1 million. So far, HAU has not focused on mass production; its focus is on quality. This has produced loyal and satisfied customers. The business has a great potentiality for growth in the days to come. Mala acknowledges that the demand for allo is only growing and will continue to grow even more in future; what is lacking at the moment is awareness and support from the government.

Social and environmental benefit

Mala has been providing a good source of income to around one thousand local women in Bajhang, Bajura, Dolpa,Bajhnag, Bajura, Dadeldhura and Dang districts in mid and far Western Nepal. The business has helped to raise life standards of marginalized women in these districts. For a country with annual per capita income of $1000, these women earn around $42 to $84 per month.

Similarly, Mala directly provides employment to 10 people in her processing factory located in Dang. Women are using their skills to make handmade finished products and are paid on the basis of piece wage of around Nrs 2000 to 2500 per item.

Many textile factories around the world today have contributed to air pollution, releasing carbon monoxide, sulfur dioxide during their processing. By 2030, the textile industry alone is predicted to emit 4.9 giga tonnes of Carbon dioxide annually. Certain fabrics like nylon, polythene are non-bio degradable in nature and are contributing to environment pollution. Allo comes from natural source and is fully bio-degradable. It is not dyed or colored and is presented to customers in its natural form. Definitely, allo is a sustainable alternative to the other harmful fabrics.

https://www.facebook.com/himalayannettle/videos/349543319142117/

Interview

Mala Thapa Magar, CEO

Business information

Himalayan Allo Udyog

Himalayan Allo Udyog

Dang, Lumbini Province, NP
Year Founded: 2009
Number of Employees: 501 to 1000

When the world is witnessing the arrival of more and more young entrepreneurs, Nepal too is setting quite a few examples. Ms Mala Thapa Magar, The CEO of Himalayana Allo Udhyog (HAU) is doing miracles at her partying age. Himalayan allo Udhyog, started in 2009, utilizes the abundantly available but less recognized resource called allo in Nepali or the nettle plants that could be found in most remote areas of Nepal like Bajhang, Bajura,Rukum, Rolpa,Darchula and Pyuthan.