KATHMANDU, Feb 24: Nepal imported agricultural products worth more than Rs 203 billion in the first seven months of the current fiscal year, thanks to the poor government policies to boost production of agro products inside the country.
The records with the Department of Customs (DoC) show that the import figure of agricultural goods during mid-July 2024 and mid-February 2025 was 81 percent of the value recorded in the entire period of the last fiscal year. In the FY 2023/24, Nepal imported agricultural goods of Rs 251.46 billion in total.
According to the DoC, imports of animal fat and vegetable oil recorded at Rs 66.20 billion, the largest of all. The country imported the same products worth Rs 48.27 billion in the last fiscal year. With an import figure of Rs 36.35 billion, food grains stood second in the row. In 2023/24, Nepal imported food grains worth Rs 45.79 billion.
Nepal’s dependence on imported agricultural products has been rising in recent years. As per the government records, the state distributed a heavy subsidy of Rs 107.66 billion to farmers in the past five years. However, the state support has proven ineffective to uplift the productivity of overall agriculture products.
Rasmila Thapa, a trader at Dhumbarahi-based vegetable market, said the country has started importing large amounts of vegetables due to declining areas of agricultural land due to increasing urbanization. Thapa, a pumpkin seller, said traders have been importing pumpkin from Bangalore, India citing a growing popularity of the product among Nepali consumers.
In the review period, the country imported fresh vegetables worth Rs 25 billion, potatoes worth Rs 5.48 billion, dry onions valued at Rs 2.13 billion and garlic worth Rs 6.81 billion. Similarly, fruits worth Rs 12.32 billion, agricultural raw materials worth Rs 16.42 billion, pulses worth Rs 3.97 billion, dairy products of Rs 908.40 million, tea and coffee of Rs 5.49 billion and sugar and confectioneries worth Rs 2.61 billion were also imported.
Paddy imports also jumped in the review period, despite the government’s announcement of achieving the largest quantity production of paddy this year. In the review period this year, paddy worth Rs 25.29 billion was imported, almost double of Rs 13.05 billion in the same period last year.
The government has been providing subsidies to sugarcane farmers through various initiatives. Additionally, it offers subsidies under different headings, including agricultural projects, funds for farming, livestock insurance premiums, agricultural cooperatives, farmer groups, and agricultural enterprises. In addition, billions of rupees are also granted for chemical fertilizers every year.
Citing the ineffectiveness of the government provided agricultural subsidies, the government has reduced the budget targeted to this sector from the current fiscal year. Through the budget announcement, the government has allocated Rs 57.29 billion for agriculture in the current FY, down from Rs 58.98 billion of the last FY.