Nepal’s tea exports through the Mechi Customs Office rose by 40.50 percent in the first 11 months of the current fiscal year (FY 2024/25), compared to the same period of last fiscal year. This has renewed optimism among producers after a challenging period.
According to Mechi Customs Office data, tea worth Rs 3.86 billion was exported during the review period (mid-July 2024 to mid-June 2025), compared to Rs 2.75 billion in the same period of the previous fiscal year. In total, 14,463.33 metric tons of tea were exported in the first 11 months this year.
Mechi Customs plays a vital role in Nepal’s tea trade as most of the country’s tea is cultivated in the eastern hills, particularly in Koshi Province, which contributes 99 percent of Nepal’s total tea exports.
Tea farmers and exporters, discouraged by a decline in exports until last July, are now more hopeful due to a steady rebound in shipments this fiscal year. Industry observers have attributed the growth to supply shortages in India— caused by droughts in Darjeeling and Assam— which pushed up demand for Nepali tea.
Despite a drop in domestic production from 22.5 million kilograms last year to an estimated 17.5 million kilograms this year, higher prices have helped offset the shortfall. According to industry estimates, the average price of Nepali tea has doubled from Rs 90–100 per kilogram last year to about Rs 180 per kilogram this year.
Farmers and traders report that Indian buyers, in particular, have increased orders amid the ongoing supply gap. Nepal exports nearly all of its tea— primarily to India, but also to markets like the United States, Japan, and China.
Meanwhile, total exports through Mechi Customs reached Rs 23.28 billion in the first 11 months of the fiscal year. Other key export items included veneer sheets (up 67 percent), steel sheets (up 9.6 percent), plywood (up 11.6 percent), and molasses (up a massive 400.50 percent).
However, cardamom exports through Mechi Customs declined by 3.80 percent, totaling Rs 7.18 billion during the review period— down from Rs 7.46 billion in the same period of the previous fiscal year. (With inputs from RSS)
