Half-yearly review: Trade deficit hits 825 billion in 6 months

Nepal’s total trade deficit has crossed Rs 825 billion 730 million in the half-yearly review period of the current Fiscal Year 2022/23.

The statistics published by the Department of Customs today shows that Nepal’s foreign trade was equivalent to total Rs 1 trillion 12 billion 597 million 600 thousand until February 12.

Of this volume of foreign trade, the country imported goods and services worth Rs 919 billion 165 million 300 thousand and exported goods and services worth only Rs 93 billion 432 million 300 thousand.

During this period, Nepal’s import comprises 90.77 per cent and the export 9.23 per cent of the total foreign trade. The country raised customs revenue amounting to Rs 212 billion 127 million 400 thousand from foreign trade as of February 12.

Nepal’s total foreign trade has decreased by 20.84 per cent in the six months of the current fiscal year as compared to the foreign trade during the corresponding half-yearly review period of the last fiscal year 2021/22.

Similarly, the import has dropped by 19.90 per cent while the export by 29 per cent compared to the last fiscal year.

India is Nepal’s largest trading partner. Nepal has imported goods worth Rs 570 billion 969 million 700 thousand until February 12 of the current fiscal year starting July 17, 2022. Nepal’s export to India during this period is equivalent to Rs 66 billion 226 million 500 thousand only.

Similarly, Nepal’s imports from China amounted to Rs 125 billion 52 million 400 thousand and exports to Rs 422.6 million only during the six months’ period.

Indonesia is the third largest trade partner of Nepal during this period. The import from Indonesia amounted to Rs 57 billion 906 million 900 thousand while exports amounted to only Rs 103 million 600 thousand during this period.

Likewise, goods worth Rs 20 billion 262 million 500 thousand were imported from the United Arab Emirate and worth Rs 258 million 900 thousand during the review period. The imports from Argentina during this period were worth Rs 18 billion 566 million and the exports worth Rs 1 million 20 thousand.

Nepal imported the highest amount of petroleum products until February 12 of the current fiscal year.  According to the Department, the country imported diesel worth Rs 84 billion 616 million 400 thousand, petrol worth Rs 38 billion 733 million 300 thousand and LPG worth Rs 33 billion 340 million in the last six months. The country imported crude soybean oil worth Rs 26 billion 424 million 200 thousand during the same period.