This is a best prospect industry sector for this country. Includes a market overview and trade data.
Last Published: 8/2/2019

Overview

Only 17 percent of Nepal’s land is arable, and productivity is low due to structural impediments, including poor road infrastructure and small-scale farming.  As a result, Nepal imports a significant amount of food products, though U.S. products are less competitive than cheaper Indian and Chinese products.  However, the demand for U.S. farm, food, and dairy products has slowly increased in the last few years and U.S. goods now constitute ten percent of imports in the market.  Nepal also offers opportunity for U.S. exports of seeds and fertilizers.  However, in January 2014, Nepal’s Supreme Court imposed a ban on the import of genetically-modified and hybrid seeds, and that market remains closed.  Due to small fertilizer orders, the Nepali fertilizer market is largely untapped by U.S. companies.
 
Exports/Imports of Food and Dairy Products (U. S. $ thousands)

 2014201520162017 (Estimated)
Total Local Production0000
Total Exports0000
Total Imports1,288,470.931,111,859.471,604,719.64 
Imports from the US
 		7,666.1510,702.8234,384.22 
Total Market Size1,288,470.931,111,859.471,604,719.642,000.000.00
Exchange Rates98.5599.79106.65107.92

(total market size = (total local production + imports) - exports)
Total Imports: Trade and Economic Promotion Center, Nepal
            U.S. Imports:  Trade and Economic Promotion Center, Nepal

Leading Sub-Sectors

  • Rice
  • Legumes
  • Dried pastas, Bread
  • Pastry, cakes, and biscuits
  • Vegetable oil
  • Capsules for medicine

Opportunities

Demand for U.S. bread, pastry, cakes, biscuits, and other bakery products have gradually increased in the Nepali market.  The presence of flavored waters and other nonalcoholic beverages, food preparations, ethyl alcohol, spirits, and liquors has also increased in the Nepali market.

Web Resources

United States International Trade Commission: www.usitc.gov
Trade and Export Promotion Center, Nepal: www.tepc.gov.np

Prepared by our U.S. Embassies abroad. With its network of 108 offices across the United States and in more than 75 countries, the U.S. Commercial Service of the U.S. Department of Commerce utilizes its global presence and international marketing expertise to help U.S. companies sell their products and services worldwide. Locate the U.S. Commercial Service trade specialist in the U.S. nearest you by visiting http://export.gov/usoffices.