Nepal spent Rs 25.12 billion on paddy and rice imports during the first seven months of the current fiscal year, including Rs 5.11 billion in the last month alone, according to data from the Department of Customs (DoC).
Records show that between mid-July 2025 and mid-February 2026, the country spent Rs 110 million more on paddy and rice imports compared to the same period in the previous fiscal year. The rise in imports has been linked to a drop in domestic production caused by erratic rainfall and landslides.
Nepal has faced increasing climate-related challenges in recent years. During this year’s monsoon, irregular and insufficient rainfall severely affected paddy plantations in Koshi Province and Madhesh Province. Additionally, continuous rainfall on October 3–4 damaged crops that were nearly ready for harvest. According to the Ministry of Agriculture and Livestock Development (MoALD), large quantities of harvested paddy left in fields for drying were destroyed due to waterlogging and unseasonal rain.
Government projections estimate this year’s paddy production at 5,505,126 tonnes, a 4.20 percent decline from the previous year. Agriculture contributes about 24.16 percent to Nepal’s GDP, with paddy alone accounting for roughly 12 percent.
Import data show mixed trends. Paddy imports fell to Rs 12.74 billion from Rs 14.51 billion during the review period. In contrast, rice imports rose to Rs 12.36 billion from Rs 10.77 billion.
Basmati rice made up a significant portion of the imports. The volume of basmati imports increased to 46,000 tonnes from 40,449 tonnes, while spending rose to Rs 5.12 billion from Rs 4.57 billion.
Despite the overall increase in rice imports, government revenue from these products declined. During the review period, paddy and rice imports generated Rs 1.77 billion in revenue, down from Rs 2.31 billion in the corresponding period last year. A DoC official attributed the drop to revisions in customs duty rates on these items.
