Foreign trade through Nepal’s primary border at Birgunj has seen improvement, with an increase in goods entering via the Integrated Check Post (ICP) customs. While past years witnessed a trade slump due to reduced market demand, customs data now indicates a recovery. Officials attribute this to the stabilisation of the domestic market, leading to higher imports.

According to Chief Customs Officer Deepak Lamichhane, imports of the top 10 commodities through this border have increased from mid-July 2024 to mid-February 2025. The primary imports through this checkpoint include petroleum products, vehicles, and industrial raw materials. Over the past seven months, major imported goods have included iron, machinery parts, pharmaceuticals, fertilisers, food grains, and vehicle components.

This rise in vehicle imports follows pressure from the ICP customs, which issued notices to importers instructing them to clear vehicles held at customs for prolonged period. Lamichhane stated that importers have actively obtained customs clearance to release their vehicles. “Following our notice, importers began clearing their vehicles. The number of vehicles stockpiled at customs has dropped from 500 to approximately 150,” he added.

Petroleum products top the list of imports, with diesel, petrol, LPG, and kerosene worth Rs 104.76 billion imported by mid-February 2025. Soybean crude oil ranks second among imports. Recent tariff hikes by India on imports from other countries have made Nepal’s SAFTA-facilitated exports more competitive, encouraging industrialists to import crude edible oil, refine it, and export the processed product to India.

Refined soybean and sunflower oil are the leading export commodities, contributing significantly to revenue collection. Customs data shows that petroleum products alone generated 45.64% of total revenue collected over the past seven months. Additionally, textiles, cosmetics, and food grains have made notable contributions. Statistics published on the customs website indicate that the import value of all these commodities has increased in the review period compared to the same period in the previous fiscal year (FY 2023/24).