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Nepal Spends Rs 35.53 Billion on Rice and Paddy Imports in First 10 Months of FY 2024/25

CEO Tab by CEO Tab
June 19, 2025
in Prime News
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India eyes on curbing export of basmati rice
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Despite recurring government pledges to achieve self-reliance in rice production, Nepal imported rice and paddy worth Rs 35.53 billion in the first 10 months of the current fiscal year 2024/25.

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According to data from the Department of Customs (DoC), Nepal imported 201,916 tons of rice worth Rs 15.76 billion. Additionally, the country spent over Rs 19.77 billion on importing 496,989 tons of paddy, including 1,850 tons of paddy seeds valued at Rs 818.20 million.

This substantial reliance on imports persists even as the government, through the FY 2025/26 budget, has laid out ambitious plans to boost domestic rice production. The government has committed to promoting the cultivation of an additional 1.2 million tons of Spring Paddy across 22 districts in the Terai and Inner Madhesh. To support this, Rs 330 million has been allocated in the current fiscal year.

The growing import trend comes at a time when local farmers are struggling to sell their produce. At a press conference held on Sunday, two major farmer alliances—National Farmers Group Federation Nepal and All Nepal Peasants’ Federation—voiced frustration over poor market access and pricing. They reported that Spring Paddy is being sold at just Rs 1,400 per quintal, significantly lower than the government’s declared minimum support price of Rs 2,869 per quintal.

According to the Ministry of Agriculture and Livestock Development, an estimated 150,000 tons of Spring Paddy remain unsold with farmers. Nepal annually produces around 500,000 tons of paddy, cultivated on approximately 120,000 hectares of land with an average productivity of 5 tons per hectare.

In comparison, rice and paddy imports had reached Rs 21.34 billion in FY 2023/24 and Rs 35.90 billion in FY 2022/23. Although there was a drop of about Rs 13 billion in imports last fiscal year, this year’s figures indicate a resurgence in reliance on foreign supply.

The continued rise in imports amid surplus domestic stocks highlights persistent gaps in market linkage, pricing mechanisms, and post-harvest management—posing a critical challenge to Nepal’s food sovereignty goals.

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