Nepal's Petroleum Import Bill Jumps 73% to Rs 65.49 Billion in First Two Months of FY 2026/27
Nepal's petroleum product imports surged 73% year-on-year to Rs 65.49 billion in the first two months of FY 2026/27, driven by higher international oil prices, a stronger US dollar, and increased purchase volumes. The import bill accounted for 16.31% of total imports, while the overall trade deficit widened 26.02% to Rs 324.93 billion.
KATHMANDU, Sept 24 — Nepal imported petroleum products worth Rs 65.49 billion in the first two months of the current fiscal year (FY) 2026/27, a 73 percent surge compared to the same period last fiscal year, according to data from the Department of Customs (DoC).
The fossil fuel import bill accounted for 16.31 percent of the country's total import value of Rs 401.51 billion during the review period.
Breaking down the petroleum imports:
- Petrol: Rs 16.13 billion
- Diesel: Rs 28.03 billion
- Aviation fuel: Rs 5.22 billion
- Cooking gas: Rs 16.02 billion
In the first two months of FY 2025/26, Nepal's petroleum imports stood at Rs 37.86 billion, with petrol at Rs 10.58 billion, aviation fuel at Rs 2.85 billion, diesel at Rs 14.91 billion, and cooking gas at Rs 9.43 billion.
Traders attributed the sharp rise in the petroleum import bill to a combination of factors, including higher oil prices in the international market, an appreciating US dollar, and a surge in purchased quantities.
Meanwhile, Nepal imported 425,000 mobile phones worth Rs 9.74 billion between mid-July and mid-September, up from Rs 8.87 billion in the same period last year.
Other major import categories during the review period included:
- Crude edible oil and ghee: Rs 48.57 billion (crude soybean oil alone: Rs 38.05 billion)
- Vehicles and their parts: Rs 29.28 billion
- Fertilizers: Rs 24.91 billion
- Machinery and parts: Rs 24.91 billion
- Iron and steel: Rs 23.46 billion
India remained Nepal's largest trading partner, with imports from the southern neighbor reaching Rs 221 billion, while exports to India stood at Rs 65.44 billion. China was the second-largest source of imports at Rs 76.40 billion, though exports to China were just Rs 293.3 million.
Nepal's overall imports surged 31.58 percent, while exports rose 61.68 percent to Rs 76.58 billion. The trade deficit widened by 26.02 percent to Rs 324.93 billion.