Chemical industry is regarded as a strategically important sector. The inorganic chemical industry is comprised of activities related to production of inorganic compounds, fertilisers, reagents and raw materials used in high-tech industries, pharmaceuticals, electronics, catalysts, pigments and propellants. Inorganic chemicals form a crucial part in the production of raw materials required for manufacturing consumer products. As basic chemicals represent the starting point for the manufacture of inorganic industrial chemicals, import of such inorganic elements and their compounds are crucial for this industry (www.chemistryexplained.com).

As Nepal lacks a sound base of raw materials required for the production of chemicals, the country’s chemical industry is heavily dependent on imports. Thus imports of such products are vital for this industry. The import trend of inorganic chemicals indicates the performance of this industry; higher the import of inorganic chemicals, higher the production of the Nepali chemical industry.

Official statistics show that Nepal’s import of inorganic chemicals increased steadily over the years before declining slightly in the fiscal year 2019/20 due to the Covid-19 pandemic which dramatically slowed down industrial activities particularly in the second half of the year.