Nepal’s Import Basket Expands with Vegetables and Rice Imports Rising 45–68%

Nepal’s import composition has broadened notably in the first two months of FY 2025/26, with a strong rise in agricultural imports, particularly vegetables and rice, according to the latest Nepal Rastra Bank (NRB) Mid-September 2025/26 report. Total imports during this period reached Rs. 305.15 billion, up 16.2% year-on-year, reflecting increasing domestic demand and a seasonal shortfall in local agricultural production.

The data shows that vegetable imports surged 44.8%, totaling Rs. 2.97 billion, compared to Rs. 2.05 billion during the same period last year. Similarly, rice and paddy imports jumped an even higher 67.8%, reaching Rs. 5.60 billion, up from Rs. 3.34 billion the previous year. These figures highlight Nepal’s continued dependence on imported food staples to bridge domestic supply gaps caused by delayed harvests, reduced productivity, and unpredictable monsoon patterns.

Economists point out that these increases coincide with a slow agricultural recovery following input shortages in previous years, as well as the rising cost of imported fertilizers and seeds. Demand for rice, in particular, has grown in urban centers where population density and consumption are high. Meanwhile, vegetable imports have expanded due to seasonal supply fluctuations and high cross-border trade with India — Nepal’s primary source for perishable goods.

Beyond food items, Nepal’s broader import structure shows growth across several other sectors. Petroleum products led the import chart with Rs. 39.57 billion (13% share), followed by crude soybean oil (Rs. 21.64 billion) and transport equipment (Rs. 20.58 billion). The fertilizer import bill also surged 68.1%, reflecting robust government procurement for the farming season. Collectively, these trends indicate that while Nepal’s economy is regaining momentum, import dependence — especially for food and energy — remains a structural challenge.

Analysts emphasize the need for agricultural self-sufficiency programs, including investment in irrigation, cold storage, and crop diversification, to reduce reliance on food imports. Strengthening domestic supply chains and supporting farmers through price stability mechanisms could help stabilize import bills and protect Nepal’s trade balance over the long term.