KATHMANDU: The country's foreign trade shrank by 29 per cent in the first six month of the current fiscal year 2015-016.

The slump in the foreign trade volume is attributed to the decrease in import and export with India which constitutes two third of Nepal's foreign trade, according to the Trade and Export Promotion Centre.

The export and import have decreased by 36.6 per cent and 36.2 per cent respectively.

The total trade deficit of the period this year stands at around Rs 240 billion which is Rs 303 billion less than the same period of last year, shared Centre's Director Suyash Khanal.

Similarly, the total foreign trade consists of 10.3 per cent of export and 89.7 per cent of import.

The total export during this period, this year stood at Rs 310.4 billion, experiencing 28.6 per cent decrease. Likewise, import fell by 28.9 per cent limiting to Rs 200 billion.

The increase in the export of readymade garment, woolen carpet, cardamom among other local produces have helped the export from further decrease, argued Centre's Director Khanal.