Overall Exports to Other Countries Shrink by Rs. 4,425 Million in 2025/26

Nepal’s exports to countries beyond India and China fell significantly in FY 2025/26, shrinking by Rs. 4,425 millioncompared to the previous year. According to NRB data, shipments dropped from Rs. 49.7 billion in 2024/25 to Rs. 44.3 billion in 2025/26, a 6.5% contraction.

This decline reflects weakening global demand for Nepalese products like woolen carpets, tea, and particle boards, which faced strong competition and fluctuating international prices. At the same time, logistics costs and supply disruptions limited Nepal’s ability to sustain exports to far-off destinations such as Europe and North America.

Despite the overall fall, a few bright spots remain. Herbs (up 23%) and noodles (up nearly 59%) performed strongly, showing that processed foods and natural products still have global growth potential. Experts suggest Nepal must capitalize on these sectors while modernizing traditional industries and expanding into new value-added products to counterbalance the losses.