Nepal’s export decreases by 34.9 percent

NL Today

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Kathmandu: Merchandise exports decreased 34.9 percent to Rs.28.68 billion during the two months of 2022/23 against an increase of 115.4 percent in the same period of the previous year, Nepal Rastra Bank (NRB) stated in its report entitled Current Macroeconomic and Financial Situation of Nepal.

Destination-wise, exports to India and China decreased 45.2 percent and 21.6 percent respectively whereas exports to other countries increased 13.2 percent. Exports of zinc sheet, woolen carpets, particle board, readymade garments, medicine (ayurvedic), among others, increased whereas exports of soyabean oil, palm oil, oil cakes, cardamom, toothpaste, among others, decreased in the review period. 

During the two months of 2022/23, merchandise imports decreased 13.0 percent to Rs.273.60 billion against an increase of 75.9 percent a year ago. Destination-wise, imports from India, China and other countries decreased 9.5 percent, 13.3 percent, and 20.7 percent respectively. 

Imports of petroleum products, chemical fertilizer, sponge iron, medicine, aircraft & spare parts, among others, increased whereas imports of transport equipment & parts, silver, crude soyabean oil, hot rolled sheet in coil, M.S. billet, among others, decreased in the review period. 

Based on customs points, exports from Dry Port, Jaleshwor, Kailali, Krishnanagar, Mechi and Tribhuvan International Airport Customs Offices increased whereas exports from all the other major customs points decreased in the review period. 

On the import side, imports from Dry Port, Jaleshwor, Krishnagar and Tatopani Customs Offices increased whereas imports from all the other major customs points decreased in the review period. Total trade deficit decreased 9.4 percent to Rs.244.92 billion during the two months of 2022/23. 

Such a deficit had increased 70.8 percent in the corresponding period of the previous year. The export import ratio decreased to 10.5 percent in the review period from 14.0 percent in the corresponding period of the previous year. During the two months of 2022/23, merchandise imports from India by paying convertible foreign currency amounted to Rs.26.23 billion. 

Such an amount was Rs.36.27 billion in the same period of the previous year. Composition of Foreign Trade As per the Broad Economic Categories (BEC), the intermediate and final consumption goods accounted for 57.8 percent and 42.2 percent of the total exports respectively, whereas the ratio of capital goods in total exports remained negligible at 0.03 percent in the review period. In the same period of the previous year, the ratio of intermediate, capital and final consumption goods remained 38.7 percent, 0.02 percent and 61.3 percent of total exports respectively. 

On the import side, the share of intermediate goods remained 53.7 percent, capital goods 8.7 percent and final consumption goods remained 37.7 percent in the review period. Such ratios were 53.7 percent, 11.4 percent and 34.8 percent respectively in the same period of the previous year. Export-Import Price Index The y-o-y unit value export price index, based on customs data, increased 5.6 percent and the import price index increased 13.6 percent in the second month of 2022/23. 

The terms of trade (ToT) index decreased 7.0 percent in the review month compared to a decrease of 3.0 percent a year ago. RSS