The NEPSE Journal
Market commentary, data deep-dives, and trading notes from the NEPSE Trading desk.
Noodles exports grew 59.7% in FY 2025/26, reaching Rs. 242.3 million in one month. Demand from India, the Middle East, and diaspora markets is driving the rise, showing Nepal’s processed food sector is gaining global momentum.
Cardamom exports surged 99.5% in FY 2025/26, reaching Rs. 321.7 million in one month. Strong demand in India and global spice markets boosted Nepal’s foreign earnings, making cardamom a bright spot in agricultural trade.
Jute goods exports grew 31.3% in FY 2025/26, reaching Rs. 582.5 million in one month and contributing 2.4% to total exports. Strong global demand for eco-friendly products is driving this revival, but modernization is needed to sustain momentum.
Palm oil exports surged 675% in FY 2025/26, reaching Rs. 714.6 million in one month and contributing 3% of total exports. Driven by re-exports to India, palm oil has become a key growth engine but remains vulnerable to trade policy changes.
Nepal’s woolen carpet exports fell by 26.6% in FY 2025/26, reflecting weakening global demand and competitiveness. Once a flagship handicraft, carpets are being overtaken by industrial products like polyester yarn.
Polyester yarn and thread exports rose 22.5% in FY 2025/26, reaching Rs. 1.08 billion in one month and contributing 4.5% of total exports. Strong demand shows Nepal’s textile industry is shifting toward synthetic fibers, though diversification remains a challenge.
Soybean oil contributed 44.7% of Nepal’s total exports in FY 2025/26, reaching Rs. 10.69 billion in just one month. While cardamom, jute goods, and noodles grew strongly, traditional items like carpets, tea, and zinc sheets declined sharply, leaving exports heavily dependent on soybean oil.
In FY 2025/26, Nepal’s export share in total trade rose to 14.3%, while import dependence fell to 85.7%. Strong exports to India boosted this shift, but weak diversification and a large trade deficit remain challenges.
Nepal’s foreign trade surged 18.8% to Rs. 1.66 trillion in 2025/26, driven by a 95.7% rise in exports and an 11.4% increase in imports. While the trade deficit remains large, strong export growth—especially to India—offered some relief.
China supplied 19.6% of Nepal’s imports in FY 2025/26, worth Rs. 279.96 billion, but took just 0.2% of Nepal’s exports (Rs. 54.8 million). This widened the deficit by 14.6%, underlining one of Nepal’s most unequal trade relationships.