When comparing the first five months of the current fiscal year (mid-July to mid-December) to the corresponding period of the previous fiscal year (2020-21), the country’s foreign trade increased by 63 percent. The country witnessed foreign trade worth Rs 575.55 billion in the first five months of the previous fiscal year, and the figure increased to Rs 941.33 billion this year.
The value of imports in the first five months of the previous fiscal year was Rs 525.50 billion, and it has increased to Rs 838.41 billion as of the mid-December of the current fiscal year.
Similarly, exports increased by 105.61 percent during the course of the study period. From mid-December last year to mid-December this year, Nepal’s export business generated Rs 50.05 billion, and it generated Rs 102.92 billion in the same time this year.
However, despite the fact that exports have increased, the country’s trade imbalance has increased even more this year as compared to the previous year, according to the department.
This is due to the fact that the increase in exports has been greatly surpassed by the increase in imports.
India’s trade deficit increased by 54.7 percent to Rs 735.49 billion in the first five months of the current fiscal year, according to official figures.
Last year, it was Rs 475.44 billion, which was the same period as this year.
When it comes to the country’s total international commerce in the first five months of the previous fiscal year, imports accounted for 91.3 percent of the total. This figure decreased by 2.45 percentage points over the same period of the current fiscal year, to stand at 98.07 percent of the total.
Similar to this, the share of exports in total international commerce has climbed to 10.93 percent, representing a 25.72 percentage point increase over the share of 8.7 percent seen in the first five months of the previous fiscal year during same period.
According to the department, even among the petroleum products that account for the highest share of imports, diesel was the most popular choice among consumers. Until the middle of December, diesel worth Rs 49.03 billion had been imported.
Similarly, crude soybean oil ranked second on the list of most popular imports. Nepali businesses acquire crude soybean oil from a variety of sources throughout the world and then refine it before exporting it to other nations.
According to data from the Department of Commerce, around 985 million litres of soybean oil worth Rs 33.66 billion was imported in the first five months of the current fiscal year, according to the DoC.
Oil palm crude (worth Rs 24.61 billion), petrol (worth Rs 24.10 billion), and liquefied petroleum gas (worth Rs 23.11 billion) were the next highest-valued commodities.
The biggest volume of soybean oil was shipped from Nepal, out of all the countries that exported goods. According to the most recent data, soybean oil worth Rs 30.55 billion and palm oil worth Rs 27.42 billion were both exported from Nepal in the same year.
Exported carpets valued at Rs 3.73 billion and woven textiles valued at Rs 2.65 billion, according to data from the Department of Commerce (DoC).
Nepal purchased over Rs 500.04 billion worth of products from India during the first five months of the current fiscal year, while exporting items worth approximately Rs 84.15 billion to its southern neighbor.
As a result, Nepal’s trade imbalance with India alone amounts to more than Rs 415 billion (approximately).
Similarly, during the first five months of the current fiscal year, Nepal purchased commodities worth Rs 122.20 billion from China while exporting items worth Rs 381.62 million to the country to the north.
It is revealed by government statistics that the Birgunj transit point handled the largest amount of imports, with goods worth more than Rs 290 billion imported. This was followed by the Bhairahawa transit point, which handled goods worth Rs 136.52 billion imported, and the Tribhuvan International Airport (TIA) customs, which handled goods worth more than Rs 105.08 billion imported.
With the help of Birgunj customs, Nepal exported commodities worth more than Rs 49.41 billion, Rs 28.57 billion with the help of Biratnagar customs, and Rs 14.42 billion through TIA customs.