Petroleum import declines by 9 percent


December 2, 2023


Petroleum import declines by 9 percent

Image for Representation.

KATHMANDU: Over the first four months of the current financial year, there has been a notable nine percent decrease in the import of petroleum products.

As per data from the Department of Customs, a total of 800,000 kiloliters of petroleum products, including diesel, petrol, kerosene, gas, and jet fuel, valued at 88,984,422,000 rupees, were imported during this period.

Comparatively, the preceding year witnessed imports amounting to 98,279,966,000 rupees during the same timeframe. This translates to a significant reduction in fuel expenditure, amounting to 10 billion rupees over the course of these four months. Statistics indicate that reduced fuel consumption in the market has contributed to this decline in imports.

The Nepal Oil Corporation reports that approximately 25 to 30 percent of diesel is typically utilized for industrial purposes. However, due to the ongoing economic challenges, industries have been unable to function at their maximum capacity. Entrepreneurs note that only 30 to 40 percent of industries are presently operating at their full capacity due to the prevailing economic recession. Consequently, there has also been a decrease in the consumption of liquefied petroleum (LP) gas for cooking purposes.