KATHMANDU, Feb 22: Nepal suffered a loss of Rs 861.38 billion in foreign trade out of a total of Rs 1,115.79 billion in the last seven months of the current fiscal year.
The Department of Customs (DoC) released the data, which includes import and export details up to mid-February of this fiscal year. During this period, Nepal's imports amounted to Rs 988.58 billion, while exports stood at Rs 127.20 billion.
The DoC reported that exports increased by 46.50 percent compared to the same period last year, while imports rose by 10.09 percent. Overall, total foreign trade grew by 13.30 percent.
Cooperation for trade
Despite this growth, the trade loss increased by 6.20 percent compared to the same period last year. Imports accounted for 88.60 percent of the total foreign trade, while exports contributed 11.40 percent.
The DoC's records show that Nepal incurred a trade deficit of Rs 498.34 billion with its largest trade partner, India, during the review period. In the last seven months, Nepal imported goods worth Rs 596.35 billion from India while exporting goods worth Rs 98.75 billion.
Nepal also faced a trade deficit with its northern neighbor, China. In the last seven months, Nepal's trade deficit with China reached Rs 190.45 billion. Goods worth Rs 192.45 billion were imported from China, while exports to China were limited to Rs 2 billion.
Other countries where Nepal experienced trade losses include Argentina, the UAE, and Australia.
However, Nepal recorded trade surpluses with 35 countries. Notably, Nepal maintained a positive trade balance with Afghanistan, importing goods worth Rs 12.4 million while exporting goods worth Rs 494.5 million. Other countries facing trade deficits with Nepal include Denmark, Russia, Austria, Norway, and the Maldives.
The DoC noted that a significant portion of the trade deficit was due to high spending on petroleum products. Meanwhile, soybean oil remained Nepal's top export product.
