Exploring Wool Production in the Himalayan Highlands of Upper Mustang

In early spring 2024, M2 Rugs, Label STEP, and NCMEA, together with Vierfotografen, traveled to Nepal’s Upper Mustang region to meet the herding families behind the region’s wool production. The visit explored local traditions and the potential of sourcing wool to support Nepal’s carpet industry and cultural heritage.

All photos by Vierfotografen

The journey to Nepal’s remote Upper Mustang region in early 2024 brought together Marcel Müller, founder of M2 Rugs; Reto Aschwanden, Managing Director of Label STEP; the visual production agency Vierfotografen; and Tenzing Sherpa, former President of the Nepal Carpet Manufacturers and Exporters Association (NCMEA). Co-organised and initiated by Sherpa, the trip focused on meeting semi-nomadic herding families who produce high-quality wool as well as exploring opportunities to incorporate this locally sourced material into Nepal’s handmade carpet industry. Through direct engagement with the Himalayan herding communities, the team not only evaluated wool availability and quality but also gained insight into the cultural practices that sustain this way of life.

M2 Rugs, a STEP Certified Partner with production in both Nepal and India, is dedicated to ethical craftsmanship and actively seeking ways to increase the use of regional resources within its contemporary rug collections. Their hope and aim is to ultimately strengthen Nepal’s domestic value chains by reconnecting with its longstanding tradition of animal husbandry and highland wool production—an often overlooked heritage despite its exceptional quality and cultural importance.

Marcel Müller from M2 Rugs
Reto Aschwanden observing a family’s hand-crafted loom
Pasture land at over 4,000 meters above sea level
A shepherd family’s home

A Journey to the Source

High-quality wool is central to Nepal’s handmade carpet sector. However, despite Nepal’s rich pastoral traditions and centuries of animal husbandry, including wool production in highland regions like Upper Mustang, local wool has not been widely used in the carpet industry. For much of the country’s modern carpet industry—which arose in the 1960s and grew rapidly through the 1980s and ’90s—wool has been primarily imported from Tibet or New Zealand. The preference for imported wool stemmed from its availability in large, uniform quantities; its softness, suited to export-market preferences; and its consistency for dyeing and weaving. 

There was also a lack of domestic wool suitable for carpet weaving, with Upper Mustang wool traditionally being used for functional textiles—such as blankets, clothing, tents, ropes, and small carpets—primarily for local use. In recent years, however, interest has grown in reviving domestic wool for its quality, while supporting local economies and preserving cultural heritage.

“We’ve launched a project to source and promote this Himalayan wool, opening new opportunities for Nepal’s carpet industry while supporting local communities and preserving their rich heritage on this remote plateau. Visiting Upper Mustang with the STEP team was truly inspiring and enlightening.”

Tenzing Sherpa, President of NCMEA (2023–2025)

Shepherding Traditions and Family Livelihoods

Upper Mustang, historically known as the “Forbidden Kingdom,” sits at an altitude of around 4,000 metres. It was once an independent kingdom with a strategic location on the important trade route between Tibet and India. Closely linked to Tibet by language and culture, it remains largely cut off from modern infrastructure to this day. The region’s rich Buddhist culture, harsh climate, and small population, predominantly Tibetan ethnic groups, make economic alternatives to migration especially valuable. Animal husbandry, particularly sheep, goat, and yak herding, continues to be the backbone of livelihoods here. Similarly, wool is integral and deeply woven into the lives of these semi-nomadic herding families and their daily routines and cultural traditions.

“For over 15 years, I’ve praised the exceptional quality of Himalayan highland wool—how life at 4,500 meters shapes the fibers that go into my carpets. With our shift to locally sourced Nepali wool, I finally had the chance to meet the herds behind the material. It was more than a visit, it was a long-awaited connection.”

—Marcel Müller, Founder of M2 Rugs

During their journey to explore the region’s wool sources, Müller, Aschwanden, and Sherpa met a family from a Tibetan ethnic group, whose strong cultural roots are evident in their language, customs, and family structure. The family lives a semi-nomadic lifestyle, residing in a stone house when not migrating with their herds of pashmina goats and sheep. The family’s movements are tied to the changing seasons of the highlands, where they traverse the landscape with their animals, adapting to both climate and market needs. Like others in the region, animal husbandry is central to their both livelihood and subsistence, using the wool they produce not only as an important trade commodity but also as a material for crafting clothing, blankets, and other traditional textiles essential to their everyday life. 

Phudolma, the matriarch, weaves everything from carpets and blankets to animal leashes, making sure that no part of the wool goes to waste. With two husbands, Phudolma runs the household, embodying a matriarchal structure that remains strong in a rapidly changing world. Her niece, Nima Dolma, who studies nursing in Kathmandu, often returns to visit—reflecting the generational divide in these mountain communities, where younger members are drawn to city life while the older generation continues to find pride and purpose in their semi-nomadic way of life.

Handmade textile for home use
Nima Dolma, niece of Phudolma
Lhakpa, one of Phudolma’s husbands, sits confidently on his motorbike, which features an impressive sound system
Phudolma at her stone house entrance

Not far away lives another family: Karsang, his wife Namjo, and their three-year-old daughter Norki. They herd around 100 yaks and speak Tibetan, with relatives living across the nearby border. Their year is divided between a summer camp in Mustang at 4,400 metres, where Müller, Aschwanden, and Sherpa visited, and a winter camp in Dolpo, where conditions are drier. The yak they herd are instrumental to each aspect of their lives. Female yaks provide milk and butter, while males are used for farming and transportation. This includes relocating the entire household, tent, belongings, and all, during the seasonal migration—a five-day journey on foot. Both male and female yak wool is used for blankets, ropes, and tents, while their meat remains essential for survival. With a single male yak valued at around 1,000 USD, the animals are central to sustaining this mobile and self-sufficient way of life.

Namjo and her daughter Norki
Namjo, her husband Karsang, and their daughter Norki

“Our journey to Upper Mustang was unforgettable. We drank tea with nomadic families, watched them shear sheep by hand, and washed wool together in the river. Experiencing their lives deepened my respect, not only for the wool, but for the people who make it possible.”

—Marcel Müller, Founder of M2 Rugs

What became clear to the visiting team was how these families’ traditions of wool production are at the very heart of their livelihood and culture, shaped by the challenging mountain environment. The wool they produce reflects not just a practical resource, but the resilience of a way of life that endures despite the challenges of modern change.

Sangjung on the left
Himalayan highland wool is famous for its great quality

“A trip to Upper Mustang really is a once-in-a-lifetime experience. I very much hope that Label STEP’s efforts will help to not only increase the carpet industry’s domestic value chain and reduce its dependence on wool imports, but also contribute to preserving the traditional, sustainable lifestyle of this unique place and the cultural heritage of its amazing people.”

—Reto Aschwanden, Managing Director of Label STEP

From Highland Wool to Handmade Carpets

Through its collaboration with herding communities in Upper Mustang, M2 Rugs now sources all of its wool directly from the region. By supporting this direct connection between producer and manufacturer, the initiative helps sustain local wool traditions and honours the knowledge of families who have lived with and from animals for generations. For the team involved, the journey was not only about materials and sourcing, but also about the rare opportunity to witness a way of life shaped by movement, resilience, and deep cultural roots, all set against the breathtaking backdrop of the Himalayan highlands.

Experience the journey firsthand through this captivating clip by Vierfotografen, offering a glimpse into the atmosphere of Upper Mustang.

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