April 11: Merchandise exports of Nepal declined 29.1 percent during the eight months of FY 2022/23 to Rs 104.80 billion against an increase of 82.9 percent in the same period of the previous year, according to the Nepal Rastra Bank.

Destination-wise, exports to India and China decreased 37.5 percent and 4.9 percent respectively whereas exports to other countries increased 6.0 percent, states the Current Macroeconomic and Financial Situation Report published by NRB on Tuesday.

According to the report, exports of zinc sheet, cardamom, particle board, woolen carpets, tea, among others, increased whereas exports of soybean oil, palm oil, oil cakes, textiles, silverware and jewelries, among others, decreased in the review period.

Similarly, merchandise imports decreased 19.1 percent to Rs 1058.39 billion during the eight months of 2022/23 against an increase of 38.6 percent a year ago.

Destination-wise, imports from India, China and other countries decreased 17.6 percent, 21.7 percent, and 21.4 percent respectively. Imports of petroleum products, chemical fertilizer, sponge iron, gold, other stationeries, among others, increased whereas imports of transport equipment and parts, medicine, MS billet, crude soybean oil, telecommunication equipment and parts, among others, decreased in the review period.

Based on customs points, exports from Bhairahawa, Jaleshwar, Kailali, Krishnanagar, Mechi, Nepalgunj, Rasuwa and Tribhuwan Airport customs offices increased whereas exports from all the other major customs points decreased in the review period.

On the import side, imports from all the major customs points decreased in the review period.

As a result, the total trade deficit decreased 17.9 percent to Rs 953.59 billion during the eight months of 2022/23. Such a deficit had increased 34.5 percent in the corresponding period of the previous year.

The export-import ratio decreased to 9.9 percent in the review period from 11.3 percent in the corresponding period of the previous year.

During the eight months of 2022/23, merchandise imports from India by paying convertible foreign currency amounted Rs 85.12 billion. Such amount was Rs 147.03 billion in the same period of the previous year.