Top 10 Items that are Imported in Highest Value

Last updated on 2024-04-23

Trade with other countries is an important aspect of Nepal's economy. Nepal is a trade-liberalized country with a trade-dependent economy in South Asia. According to Trading Economics global macro models and expert estimates, imports in Nepal are anticipated to reach 123160.00 Million NPR by the end of this quarter. According to our econometric models, Nepal Imports is expected to be approximately 129849.00 Million NPR in 2022. Here, we have compiled the top ten countries with the highest imported goods in Nepal.

*The ranking is based on the data published by the Department of Customs for the fiscal year 2077/78.

10. Vegetables

Image Source: The Kathmandu Post

Over the last five years, Nepal's vegetable imports have skyrocketed, while exports have plummeted. Nepal today imports 80 percent of its grain, and food import spending has climbed by 62 percent in the last five years. Even crops that are widely grown in Nepal, such as rice, pulses, and vegetables, are imported. While the country’s overall imports dropped by 15.63 percent to Rs1.19 trillion in the last fiscal year due to the covid-19 pandemic, the import of agricultural goods has continued to increase. The vegetables imported are cheaper and widely in demand due to the cost alone, although it is known to be of less quality. Recently, the government has made it mandatory for imported fresh vegetables and fruits to undergo chemical testing before getting customs clearance to ensure the quality of the vegetables imported.

Import value : Rs. 38 Billion
Mainly imported from : India, Argentina, Indonesia

9. Jewellery

Image Source: meredithcorp.io

The other highly imported product by Nepal is ornaments, precious stones, and metals. Nepal is surrounded by hills and mountains and we lack oceans in the nation for the mining of any metals. Hence, Nepal imports raw and natural ornament items from various foreign nations, especially silver and gold jewelry. Thailand, India, China, United Arab Emirates, Hongkong, and Italy are a few of the nations that have a trade ship relation with Nepal in terms of the jewelry business. Nepal has imported Rs. 39 Billion worth of metal in the past fiscal year. The jewelry section includes Natural, cultured pearls, precious, semi-precious stones, precious metals, metals clad with precious metal, articles, imitation jewelry, and coins.

Import value : Rs. 39 Billion
Mainly imported from : India, China, Thailand

8. Plastics

Image Source: One Planet Network

Plastic products have been avoided by many countries in the past years due to their inability to biodegrade. The toxic chemicals leaching out from the plastic can have harmful effects on plants, animals as well as human beings on long-term exposure. Nepal mainly imports plastic from countries like India, China, Saudi Arabia, Thailand, and Korea. Out of all those countries, India provides the most plastic to Nepal through the open border transits. Nepal imported around a total of 14 Billion NRP worth of Plastic from India out of the total 436 Billion NRP in the year 2017. Nepal became the 130th largest importer of Other Plastic Products in the world in 2019, importing 17 Billion NRP worth of plastic. The government has made efforts to ban plastic production in the country. As a result, the imports of plastic can be seen declining over the years.

Import value : Rs. 63 Billion
Mainly imported from : India, Saudi Arabia, China

7. Cereals

Image Source: The Dollar Business

Cereals are one of the highest imported items in Nepal despite the nation’s yearly records being the largest paddy and wheat harvest in history. Based on current trends, the data shows that Nepal imported 79 Billion NRP value of cereals in the year 2077/78. These statistics clearly warn with the alarming bell for the dependence of Nepal on imported foods regardless of pouring billions into the agriculture sector annually. Rice and Maize are the most imported items in the class Cereals. As per Analysts, the reason behind this increase in Cereal imports is due to the rising demand for fine rice and maize in animal husbandry. With the gap between demand and supply for the citizens as well as in the animal industry, the items produced in the country charge more than the items that are imported from foreign nations. This has resulted in the demand for more items but with the limited production, the nation is subjected to incline to the import of the materials.

Import value : Rs. 79 Billion
Mainly imported from : India, Egypt, Thailand

6. Animals and Livestock

Image Source: Dreamstime

Animals and livestock are imported in a large amount every year despite the number of animals outnumbering the human headcount in the nation. The animals are usually imported from the neighboring countries from various transit points. These animals are widely used as domestic pets, food, livestock, etc. These imports have declined in recent years due to the coronavirus pandemic and the nationwide lockdown. According to the United Nations COMTRADE database, live animals import has even reached up to 3.5 Billion NRP. In order to import any sort of animal, a list of rules must be followed issued by the government of Nepal such as A veterinary health certification of the animal, Import permit, Rabies titer test, etc.

Import value : Rs. 82 Billion
Mainly imported from : India, Ukraine, Vietnam

5. Vehicles

Image Source: The Kathmandu Post

Automobiles have been in great demand worldwide. In 2020, almost 78 Million motor vehicles were produced globally. The increase in the general public's income has had a beneficial impact on automobile imports. Despite being in high demand, almost all automobiles are imported from other countries in Nepal. The vehicles imported also are heavily taxed, where each vehicle is taxed in different percentages based on the displacement (cc) of the vehicle. On average, almost all the vehicles are taxed up to 308 percent of the original value. In the Fiscal Year 2077/78, 61.30 Billion NRP worth of vehicles were imported in Nepal. According to the department, the government has earned nearly 81.43 Billion in income from automobile imports. This indicates that, in spite of the high demand for automobiles in the Nation, the government is still not capable of lowering the tax prices for the general public.

Import value : Rs. 97 Billion
Mainly imported from : India, France, China

4. Electronics

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There are many resources in Nepal, but we lack the skills and finances to capitalize on them. There are fewer amounts of electrical goods that are produced in Nepal itself. Raw resources are sold or exported at a reduced price, whereas similar items are imported at a higher price in Nepal. Nepal lags behind in the industrialization of electronic products due to weak political circumstances and not enough industry. As a result, we have to invest millions of dollars on electrical-like electric mobile phone equipment to light AC to cell phones, and so on. In 2077/78, 107 Billion NRP of electronic goods were imported in Nepal through different countries around the world.

Import value : Rs. 107 Billion
Mainly imported from : India, China, Vietnam

3. Machinery

Image Source: Counter Point Research

Machinery such as boilers and mechanical appliances, as well as components for them, are widely imported into Nepal, mostly for agricultural and daily use. We import various types of machinery, from tiny machines to large industrial gear. We do not manufacture any machinery in our nation and rely entirely on other emerging countries such as China, Japan, and Korea. We also rely on foreign nations for technological equipment such as mobile phones and laptop computers. In 2077/78, 123 billion NRP of Machinery items were imported in Nepal.

Import value : Rs. 123 Billion
Mainly imported from : India, China, France

2. Iron and Steel

Image Source: Industralian

Iron and steel are ranked second among the top ten biggest imports in the country. Despite the fact that Nepal is not particularly developed in terms of industrial sites, large amounts of iron and steel are imported from neighboring countries such as India and China each year due to increased construction activity. Every year, the demand for iron and steel rises by 10% due to an increase in the construction of residences and commercial structures. In 2077/78, 153 Billion NRP of Iron and Steel were imported in Nepal of which 90% was imported from India.

Import value : Rs 153 Billion
Mainly imported from : India, China, Malaysia

1. Mineral Products

Image Source: golchaminerals.com

Mineral products are one of the most imported items in Nepal. Nepal is a developing, landlocked country and for the economic development of the country, proper utilization of mineral resources is vital. These mineral products include Mineral fuels, mineral oils, and products of their distillation, bituminous substances, and mineral waxes. The mineral resources can be considered as a potential source for the prosperity of Nepal. Though Nepal is considered to be the richest in mineral resources, these materials have not been explored properly due to lack of capital, lack of technology, lack of skilled manpower, lack of transportation facilities, and also lack of strong government policies towards the extraction of mineral resources. With the lack of proper policies and rules, the resources are still imported from foreign countries. As per data published by the Department of Customs, Nepal imported petroleum products and other minerals worth Rs 214 Billion in the fiscal year 2077/78. However, the country was not able to export goods in the same period. This data clearly shows the need for petroleum products and minerals for the country’s requirements and exposes the trade deficit that is rising in the country rapidly.

Import value : Rs. 214 Billion
Mainly imported from : India, Bhutan, Oman