Nepal's Soybean Oil Exports to India Increase Tenfold in 2025 on Duty-Free Access

Nepal's soybean oil exports to India surged over tenfold in 2025, reaching a record 694,153 metric tons, driven by duty-free access under the South Asian Free Trade Agreement (SAFTA). This growth helped Nepal double its total exports to India to $2 billion and reduced its trade deficit. However, the increase pressured edible oil prices in Indian border regions, challenging local refiners who face higher import duties. Nepali refiners import crude soyoil, process it domestically, and export refined oil duty-free to India, with further growth expected as new refineries become operational.