The imports of Chinese garlic have increased unnaturally in Nepal. According to the data of the Department of Customs, Nepal has witnessed an unprecedented surge in Chinese garlic imports by 691% this year. The spike is attributed to Nepal's off-season for garlic production and reports of Nepali traders exporting Chinese garlic to India.
During the first four months of the current fiscal year (FY 2024/25), Nepal imported 23,846 metric tons of Chinese garlic worth Rs 3.137 billion. This is a significant increase compared to the same period in FY 2023/24, when only 3,089 metric tons worth Rs 396 million were imported.
Kalimati Fruit and Vegetable Market Committee Chairman, Geeta Prasad Acharya, explained that this surge aligns with China's garlic harvesting season, whereas Nepal is in its planting phase. "New garlic is being produced in China, but in Nepal, it will only be harvested around April. That’s why imports have increased," he said.
Vegetable traders suggest that the rise in imports is also driven by exports to India, where it is currently the off-season for garlic. Acharya noted, "Nepali traders are importing garlic from China and exporting it to India, as the Indian market offers better prices than Nepal at this time."
The committee’s Information Officer Binay Shrestha confirmed that higher prices in India have motivated traders to re-direct Chinese garlic. However, customs data shows no official export of garlic to India, leading the Department of Customs to suspect smuggling.
Customs Information Officer Mukti Prasad Shrestha stated that re-exporting garlic is prohibited, and traders may have resorted to illegal routes to send Chinese garlic to India across the open border. A trader explained that Indian markets favor Chinese garlic due to its larger size and ease of use compared to Nepali or Indian garlic.
Meanwhile, Kalimati market has not listed dried garlic prices in its daily updates. However, the committee reported that garlic is selling for over Rs 300 per kilogram.
According to the Ministry of Agriculture and Livestock Development, Nepal cultivates garlic on approximately 9,500 hectares of land. In FY 2022/23, Nepal produced 73,576 metric tons of garlic on 9,570 hectares.