Country records over Rs 1.43 trillion trade deficit in 10 months

KATHMANDU: The country's foreign trade deficit has reached more than Rs 1.43 trillion in the first 10 months of the current fiscal year 2021/22. This is 24.94% more than the trade deficit recorded in the corresponding period last fiscal year. The trade deficit was around Rs 1.15 trillion in the first 10 months of the last fiscal year, 2020/21. As per the statistics released by the Department of Customs, the foreign trade deficit of the country has reached more than 1.77 trillion until May 14 of the current fiscal year which ends on coming July 16. This volume of foreign trade is more by 30.49% compared to the previous fiscal year. The country's foreign trade in the 10 months of the last fiscal year was Rs 1.36 trillion. Although there is notable growth in foreign trade, the country's foreign trade deficit is surging due to the import-based trade. According to the department, the import has increased by 27.95% in the first 10 months of the current fiscal year as compared to the corresponding period of the last fiscal year. Goods worth more than Rs 1.25 trillion were imported until mid-May of last fiscal year while the import has reached more than Rs 1.60 trillion until the review period of the current fiscal year. Likewise, the export has increased by 59.80% in the first 10 months of the current fiscal year as compared to the corresponding period in the last fiscal year. Goods worth more than Rs 1 trillion 8 billion 470 million were exported until mid-May last fiscal year whereas goods worth more than Rs 1 trillion 73 billion were exported in the review period of the current fiscal year. According to the department, the share of import in foreign trade has reduced by 1.94% in the first 10 months of the current fiscal year and reached 90.25% against 92.04% during the same period of the previous fiscal year. Similarly, the share of export in foreign trade has increased by 22.46%. It reached 9.75% till May 14 in the current fiscal year against 9.96% during the corresponding period of the last fiscal year. The county imported the highest amount of petroleum products as compared to other goods. Diesel worth Rs 123.70 billion was imported into the country till May 14 of the current fiscal year. Likewise, petrol worth Rs 54.83 billion and LP gas worth Rs 52.59 billion were also imported during the first 10 months of the current fiscal year, added the Department. Soybean oil worth Rs 49.41 billion was imported during the same period, shows the data. Similarly, Nepal exported soybean oil worth over Rs 45.35 billion. Nepali businesspersons import raw materials of soybean from different countries and export them after refining in the country. So the contribution of soybean oil is seen in foreign trade. Similarly, raw materials of palm oil are also imported from different countries and exported to other countries after refining like soybean oil. As per the report, palm oil worth over Rs 39.94 billion was exported in the first 10 months of the current fiscal year. READ ALSO:

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