Nepal to Import Nearly 100,000 Tonnes Less Fertilizer This Fiscal Year Due to Price Hikes

Kathmandu. The Ministry of Agriculture and Livestock Development is set to import approximately 100,000 metric tons less fertilizer this fiscal year compared to the last one. The reduction in imports is attributed to the increase in fertilizer prices in the international market.

The government had initially targeted importing 550,000 tons of fertilizer using the allocated budget of NPR 28.82 billion for subsidies. However, due to the rise in international prices, the ministry stated that the allocated budget will now cover 84,000 tons less chemical fertilizer imports.

A tender has been called for the import of 466,000 metric tons of fertilizer in the current fiscal year. Some of the tendered quantity has already arrived, while the remaining portion is en route after completing import procedures. Mahananda Joshi, the ministry's information officer, informed that although the ministry sought alternative sources because the allocated budget was insufficient for fertilizer procurement, they were unable to raise the necessary funds.

The ministry assured that there is currently no fertilizer shortage in markets across the country, so farmers will not face problems in planting crops. According to him, approximately 115,000 metric tons of fertilizer are currently in stock. Agriculture Inputs Company Limited supplies and sells about seventy percent of the chemical fertilizer, while Salt Trading Limited handles the remaining thirty percent.

Since chemical fertilizer is not produced domestically, it is procured from the international market through international global tenders. The fertilizer is brought from locations such as Kolkata and Haldia, and is stocked in various warehouses across the country, including Biratnagar, Birgunj, and Bhairahawa, before being supplied and sold according to demand nationwide. When supplying through the electronic bidding system (e-bidding) from the international market, the lengthy process often causes problems in ensuring timely availability of fertilizer.

According to the 2078 Agricultural Census, 76 percent of farming families use chemical fertilizers for paddy cultivation.