The Birgunj Customs Office, which handles most of Nepal's foreign trade, facilitated exports worth Rs 29.27 billion in the first six months of the current fiscal year. This marks a 100 percent increase, or an additional Rs 14.71 billion, compared to the same period last year, the state-owned national news agency RSS reported.

Information Officer Amit Tiwari told RSS that the surge in exports was driven by higher exports of processed soybean and sunflower oil to neighboring India.

During the first half of the previous fiscal year, exports totaled Rs 14.56 billion. The customs office also collected Rs 176.6 million in revenue from exports in the first six months of the current fiscal year, up from Rs 103.81 million in the same period last year, RSS added.

In terms of imports, goods worth Rs 277.15 million entered Nepal through the Birgunj Customs in the first six months of the current fiscal year, compared to Rs 260 million in the same period last year. This represents a 6.45 percent increase in imports.

Nepal has witnessed a substantial surge in the export of refined soybean and sunflower oil to India, attributed to duty-free privileges under the Nepal-India Trade Treaty. This follows India’s decision in early September 2024 to raise customs duties on crude soybean, sunflower, and palm oil imports from other countries. The increase in customs duties—rising from zero to 20%, with a total tax rate of 27.5% including additional levies—created a favorable environment for Nepalese exporters to capitalize on the zero-duty export agreement, boosting the export of refined oils.

By importing raw materials such as crude palm, soybean, and sunflower oils from countries like Malaysia, Indonesia, Ukraine, and Argentina, Nepali industries process these into refined oils and export them to India under the zero-tariff provision for finished goods.