KATHMANDU, FEBRUARY 21
The country has experienced a ballooning trade deficit of Rs 811 billion 110 million while conducting foreign trade worth Rs 984 billion 770 million in the first seven months of the current fiscal year 2080/81 BS.
According to foreign trade data for the reporting period, released by the Department of Customs, imports amounting to around Rs 897 billion 944 million were made, while exports totaling Rs 86 billion 831 million were recorded as of mid-February (end of the Nepali month Magh).
In comparison to the first seven months of the last fiscal year, imports have decreased by 2.31 percent and exports dropped by 7.07 percent.
The Department reports that the trade deficit has decreased by 1.77 percent, even as overall trade dropped by 2.75 percent compared to last year. India remains the largest trading partner for Nepal, with imports from India amounting to Rs 554.75 billion, while only Rs 58.72 billion worth of exports were recorded.
Consequently, Nepal has suffered a trade deficit of Rs496.36 billion with India alone in the seven months of the current fiscal year.
Similarly, Nepal has suffered a trade deficit of Rs 171.23 billion with China, which is the second largest trading partner. Goods worth Rs 173.91 billion were imported from China until mid-February, while exports worth Rs 1.85 billion were made.
Similarly, the United Arab Emirates ranks third on the list of countries with high trade deficits for Nepal. During the first seven months of the current fiscal year, imports from the UAE amounted to Rs 15.69 billion, while exports were worth Rs 1.58 billion, resulting in a trade deficit of Rs 14.11 billion with this country.
Nepal enjoys the highest trade surplus with the United States among countries engaged in foreign trade. In the reporting period, imports from the US amounted to Rs 9.17 billion, while exports were Rs 9.54 billion, resulting in a trade surplus of Rs 364.7 million with the US.
As reported, Nepal faces trade deficits with Denmark, Norway, Afghanistan, and the Maldives, among other countries.
The highest imports during the reporting period were petroleum products, with diesel amounting to Rs 77.41 billion, petrol Rs 38.82 billion, and LP Gas Rs 30.31 billion imported in the first seven months.
Likewise, iron-related materials worth Rs 22.66 billion and smartphones worth Rs 17.38 billion were imported during the reporting period.
