KATHMANDU, Dec 23: Nepal’s reliance on imported agricultural and livestock products continues to climb, despite government claims of boosting domestic production. In the first five months of FY 2025/26, imports reached around Rs 150 billion, reflecting structural weaknesses in the country’s agriculture sector.

Data from the Department of Customs shows that between mid-July and mid-December, Nepal imported Rs 154 billion worth of food grains, vegetables, fruits, fish, meat, and other agricultural products. Food grains alone, including rice, maize, and wheat, accounted for Rs 22.72 billion. Vegetables and fruits were imported at Rs 14.89 billion and Rs 11.89 billion respectively, while animal and plant-based fats and oils totaled Rs 63.14 billion. Coffee and tea imports reached Rs 4.03 billion, and oilseeds Rs 8.39 billion.

The rising imports are linked to labor migration, which has left farmland underutilized, and a lack of modernization and commercialization, which has limited productivity. Staples such as rice, fish, onions, potatoes, coriander, and oil remain largely sourced from India, China, and other countries. Despite repeated government pledges to increase domestic output, yields of rice, maize, vegetables, fruits, and key spices and pulses remain insufficient, forcing continued dependence on imports.

The heavy reliance on imported goods has widened Nepal’s trade deficit, which hit Rs 649.68 billion in the first five months of the fiscal year—a 10.5% increase from the previous year. Total foreign trade reached Rs 882.69 billion, with imports at Rs 766.18 billion (up 15.8%) and exports at Rs 116.50 billion (up 58.2%). While exports grew faster in percentage terms, the overall deficit expanded.

Experts warn that without industrialization and structural reforms in agriculture, import dependence will persist, leaving Nepal vulnerable to external supply shocks and further trade imbalances.

People’s News Monitoring Service

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