Despite an increase in volume, import expenses for petroleum products decreased by Rs 11.07 billion in FY 2023–2024.

KATHMANDU, 25 July:

Despite a rise in the amount of fossil fuels imported, Nepal's import cost for petroleum products decreased by Rs 11.07 billion during the most recent fiscal year.

Records held by the Department of Customs (DoC) indicate that imports of petroleum products of Rs 267.68 billion were made during the fiscal year 2023–2024. In FY 2022–2023—the import expenditure was recorded at Rs 278.75 billion. It demonstrates a 4% decrease in the nation's import costs for petroleum products.

The import bill for diesel decreased by almost Rs 10 billion among petroleum products. In the previous fiscal year, Nepal imported diesel worth Rs 153.76 billion, whereas the amount imported during the current fiscal year was Rs 143.97 billion.

In a same vein, the cooking gas import bill decreased from Rs 58.15 billion to Rs 55.61 billion. However, the import bill for fuel went from Rs 66.84 billion to Rs 68.10 billion.

The drop in gasoline prices on the global market during the review period, according to Manoj Thakur, a spokesman for the Nepal Oil Corporation (NOC), reduced the import costs. In contrast, Thakur stated, "the volume of imports has increased."

In the previous fiscal year, the volume of all fossil fuels increased, notwithstanding the decline in the value of the imported fuels. The Department of Commerce reports that imports of gasoline rose from 1,408,494 kilolitres to 1,411,440 kilolitres.


The inadequate electrical supply to the manufacturing sector has been blamed for the rise in the volume of diesel imports. Business owners have been accusing the Nepal Electricity Authority of imposing sudden load shedding on manufacturing companies.

In a similar vein, fuel imports rose from 680,000 kl to 687,931 kl. Cooking gas imports increased from 514.3 million kg to 524.2 million kg.

Analysts claimed that the cost of importing gas has grown as a result of people purchasing more four-wheelers owing to changes in lifestyle. It also demonstrates that the usage of gasoline-powered automobiles cannot be substantially replaced by an increase in the import of electric vehicles. According to DoC data, Nepal imported 11,701 electric vehicle units in FY 2023–2024—nearly three times as many as it did in the previous fiscal year.