Nepal’s Rate of Export Declines

November 6: Nepal’s export rate has declined by 4.7 percent in first two months of the current fiscal year 2017/18 as compared to the corresponding period of last FY. Although the total export during the review period grew by 7.7 in FY 2016/17, the total export increased by only 3 percent in the current FY.

The total export in the last FY was Rs 73.4 billion while the export in the first two months was worth Rs 13.18 billion. The export in the first two months of the current FY increased to Rs 13.58 billion.  

However, the rate of export has declined, according to a report prepared by Nepal Rastra Bank. Meanwhile, the Ministry of Finance has concluded that it is difficult to increase the rate of export in the current context.

Finance Secretary Shankar Adhikari said that it is almost impossible to increase the rate of export in the present context.

Economists say that the decline in rate of export would have negative impact in the country’s economy.

Dr Shankar Prasad Nepal, chief of the economics department of Bhairahawa Multiple Campus under Tribhuvan University opined that Nepal should export goods at a higher price to increase the rate of export.

Data show that Nepal exported goods worth Rs 7.13 billion out of the total export of Rs 13.58 billion to India. But this amount is less by 3.3 percent compared to the export during the review period in the last FY.