Agarbatti and Rudraksha Exports Decline Sharply: Cultural Products Hit Hard

Nepal’s traditional cultural exports—agarbatti (incense sticks) and rudraksha beads—have suffered a significant decline in the Chinese market during FY 2025/26, according to Nepal Rastra Bank’s foreign trade data.

Exports of agarbatti fell by 40.4%, dropping from Rs. 1.2 million in 2024/25 to just Rs. 0.7 million in one month of 2025/26. Similarly, rudraksha exports declined by 10.8%, totaling only Rs. 2.5 million compared to Rs. 2.8 million a year earlier. This sharp decline highlights the shrinking demand for Nepal’s spiritual and cultural goods in the Chinese market, once considered a strong destination due to religious and cultural linkages.

Analysts note that increased competition from India’s incense industry, rising production costs in Nepal, and weaker demand trends in China have all contributed to this decline. For rudraksha, stricter trade barriers and shifting consumer preferences have limited Nepal’s market share.

This trend raises concerns about the sustainability of Nepal’s cultural exports, urging policymakers and entrepreneurs to diversify into new global markets while upgrading branding and supply chain efficiency to revive these symbolic industries.