 "A worker holds samples of new Japanese yen banknotes at a factory of the National Printing Bureau producing Bank of Japan notes. The new notes are scheduled to be introduced in 2024 in the Japanese capital. File photo/Reuters")
Nepal is one of the poorest countries in Asia. Did you know it is an unexpected contributor to the continent’s economic powerhouse, Japan?
Nestled in the Himalayas, Nepal’s humble yet resilient farmers supply crucial raw materials to print Japan’s iconic yen currency. But how did that come about? The notes are printed on special paper, mitsumata, which can no longer be sourced in Japan. The plant that produces this paper has its origins in the Himalayas.
Today, among Nepal’s diverse cash crops, one stands out for its unique journey from the Himalayan hills to the printing presses of Japan: the bark of Edgeworthia gardneri, colloquially known as argeli. Initially utilised for fencing and firewood, it gained international attention for its suitability in producing banknotes, passports, and stationery.
Japan’s quest for mitsumata alternative
Japan’s traditional paper material for banknotes, mitsumata, is scarce in the country. The paper is made with woody pulp from plants of the Thymelaeaceae family, which grow at a high altitude with moderate sunshine and good terrain, according to a report in The New York Times (NYT). However, rural depopulation and climate change forced farmers to abandon this labour-intensive work.
Faced with dwindling resources, Kanpou, Japan’s leading paper company, which produces paper for the government, sought alternatives. It turned to Nepal knowing that mitsumata had its origins in the Himalayas.
Impact Shorts
More ShortsAfter years, the company discovered argeli, a relative of the mitsumata. The shrub was growing in abundance in the wild in Nepal, the report says.
The discovery of argeli in Nepal presented an innovative solution, harnessing the robustness of this Himalayan plant to meet Japan’s exacting standards for currency production, reports NYT.
But that was not it. The farmers in Nepal needed to learn the Japanese way. After the 2015 earthquake left the Himalayan nation devastated, Japan sent specialists to Kathmandu. With meticulous training, Nepali farmers have honed their expertise, ensuring the quality and consistency of argeli bark for export.
It changed their lives forever.
Empowering Nepali farmers
The commercial cultivation of argeli in Nepali districts such as Sindhupalchok, Dolakha, and Ilam marks a transformative shift in the livelihoods of local farmers.
NYT documents Pasang Sherpa’s journey from struggling with crop losses to becoming a significant contributor to Nepal’s economy, exemplifying the profound impact of argeli cultivation. “I hadn’t thought these raw materials would be exported to Japan and I would make money from it,” he is quoted as saying by the publication.
This year, Sherpa has hired 60 locals to help him process the harvest and he is hoping to make big bucks: 8 million Nepali rupees, approximately Rs 50 lakh.
However, he is not alone in reaping the benefits. The influx of revenue from argeli exports has revitalised Nepali communities, particularly those in hilly and Himalayan regions. The once-marginal practice of cultivating the evergreen shrub has evolved into a thriving industry, offering sustainable livelihoods and economic stability to farmers.
As Nepal’s primary export to Japan, argeli bark has become synonymous with prosperity and resilience in the face of adversity.
A Nepalese legacy
Amid its economic significance, argeli cultivation preserves Nepal’s rich cultural heritage and promotes environmental conservation. Rooted in centuries-old traditions of handmade paper production, it honours Nepal’s legacy while embracing modern innovation.
According to The Nepal Times, the cultivation of this Himalayan shrub contributes to biodiversity conservation and ecosystem resilience, enhancing the ecological balance in the region.
Despite its success, argeli cultivation faces challenges, including the reliance on manual labour and the need for mechanisation. However, initiatives by organisations like the Nepal Handmade Paper Association aim to address these challenges through training and technological innovation.
With a focus on sustainability and scalability, Nepal is poised to further elevate its position as a global supplier of high-quality raw materials.
As Nepal looks to the future, argeli bark symbolises the country’s potential for economic growth and global relevance.
With the increasing demand for Nepali paper abroad and a burgeoning export market to Japan, Nepal’s argeli industry holds promise for expansion and diversification. By nurturing local expertise and embracing technological advancements, the country can continue to thrive as a key player in the global economy.
The partnership between Nepali farmers and Japanese paper experts underscores the power of collaboration and innovation in addressing global challenges.
Japan to issue new bank notes from July
Starting July 3, 2024, Japan will introduce a new series of banknotes, marking the first redesign in two decades. The upcoming release will feature notable changes to the designs and portraits displayed on various denominations.
“Banknotes of three denominations 10,000 yen, 5,000 yen, and 1,000 yen will be issued on July 3, 2024. The new banknotes are the culmination of anti-counterfeit technologies cultivated for over 150 years,” said the Bank of Japan in a statement .
The ¥10,000 bill, Japan’s highest denomination, will now showcase the portrait of entrepreneur Shibusawa Eiichi, often hailed as the “father of capitalism” in Japan. Shibusawa was instrumental in establishing numerous private companies, marking a significant departure from the previous depiction of thinker and educator Fukuzawa Yukichi, who adorned the bill since 1984.
Similarly, the ¥5,000 bill will undergo a transformation, with Tsuda Umeko, a trailblazer in women’s education, replacing author Higuchi Ichiyō. Meanwhile, the ¥1,000 bill will feature bacteriologist Kitasato Shibasaburō instead of medical researcher Noguchi Hideyo.
In addition to the portrait changes, the reverse side of the banknotes will feature new imagery. The ¥10,000 note will depict the iconic Tokyo Station building, while the ¥5,000 note will showcase wisteria flowers. The ¥1,000 bill will display Katsushika Hokusai’s renowned artwork, The Great Wave off Kanagawa.
To enhance security features, the new banknotes will incorporate cutting-edge anti-counterfeiting measures. Notably, they will include the world’s first three-dimensional holograms, allowing the portraits to appear to rotate when viewed from different angles. Furthermore, tactile marks will be included to aid the visually impaired in identifying the denominations.
Upon issuance, the new banknotes will be readily available from financial institutions and ATMs. It’s important to note that the currently circulating banknotes will remain legal tender alongside the new series.
With inputs from agencies