KATHMANDU, July 24: The trade of soybean oil has significantly propelled Nepal’s export growth. In the span of just one year, Nepal exported soybean oil worth Rs 106.79 billion to India and Australia. As a result, the country’s export trade has increased by over Rs 125 billion in a year.
According to the data published by the Department of Customs on Tuesday, exports surged by nearly 82 percent in Fiscal Year (FY) 2024/25 ie the highest on record. While goods worth Rs 152.38 billion were exported in FY 2023/24, the figure rose by Rs 124 billion to Rs 277.03 billion in the latest fiscal year.
President of the Federation of Export Entrepreneurs of Nepal, Govinda Prasad Ghimire, said that along with policy reforms, soybean oil played a key role in the export boost. “Digital promotion and international exhibitions post-COVID-19 have also helped increase exports to some extent,” Ghimire stated. “There is renewed hope in export trade.”
While foreign trade appears promising, it may not be sustainable. Nepal imports the raw materials required for soybean oil production and re-exports the processed oil. According to the federation, diplomatic coordination was made to invite international buyers through global marketing strategies.
Nepal’s one-third export earnings are from palm and soybean oil...
Top exported items include soybean and sunflower oil, cardamom, carpets, fiber, tea, and chhurpi (hardened cheese). After soybean oil, Nepal exported sunflower oil worth Rs 12.32 billion. Cardamom ranked third among top exports, with Rs 7.67 billion worth exported — mostly grown in the eastern hilly districts of Nepal.
Similarly, Nepal exported carpets worth Rs 11.92 billion, tea worth Rs 4.59 billion, and chhurpi worth Rs 3.927 billion.
Alongside export growth, imports have also risen. In FY 2024/25, imports increased by 13.25 percent — a total rise of Rs 211.13 billion. Compared to imports worth Rs 1.592 trillion in the previous fiscal year, Nepal imported goods worth Rs 1.804 trillion this year. Petroleum products remain Nepal’s top import, sourced mainly from Indian Oil Corporation.
Nepal imported diesel worth Rs 128.76 billion and crude soybean oil worth Rs 108.95 billion in the last fiscal year. Likewise, petrol worth Rs 64.127 billion and cooking gas worth Rs 62.58 billion were imported. Nepal also imports a large volume of agricultural and animal-based goods.
Nepal’s total trade deficit has reached Rs 1.525 trillion. The deficit stood at Rs 1.440 trillion the previous year. Foreign trade increased by 19.24 percent. Total foreign trade reached Rs 2.081 trillion in FY 2081/82, up from Rs 1.745 trillion the previous year.
Nepal records its highest trade deficit with India — totaling Rs 846.51 billion. Nepal exported goods worth Rs 224.68 billion to India, while it imported goods worth Rs 1.071 trillion from its southern neighbor.
Likewise, Nepal's trade deficit with China stood at Rs 338.47 billion. Imports from China amounted to Rs 341 billion, while exports to China totaled just Rs 2.63 billion.
