Argentina: Nepal’s Third-Largest Import Source in 2026
Argentina is a name that stirs passion in Nepal—not just for Lionel Messi’s magic or the blue-and-white stripes, but for a far less glamorous reason: edible oil. In the first 11 months of fiscal year 2082/83 (Shrawan–Jestha), Argentina emerged as Nepal’s third-largest import source, trailing only India and China. The numbers are staggering: Rs 99.30 billion worth of goods, nearly all of it crude soybean and sunflower oil.
- Argentina’s rank among Nepal’s import partners: 3rd
- Total imports from Argentina: Rs 99.30 billion
- Share of edible oils: ~99.8%
- Nepal’s total trade deficit: Rs 1,616.13 billion
The Three Argentinas in Nepal’s Story
Nepal’s relationship with Argentina is a tale of three distinct identities: the footballing giant that captivates millions, the distant adversary from the Falklands War where Gurkha soldiers fought, and the agricultural powerhouse that supplies Nepal’s kitchens. Most Nepalis know little about the latter two, yet the economic ties are deeper than with many closer neighbors.
Key Player Stats: Trade Figures
| Indicator | Value |
|---|---|
| Imports from Argentina (total) | Rs 99.30 billion |
| Crude soybean oil | Rs 90.12 billion |
| Crude sunflower oil | Rs 14.79 billion |
| Oil share of total imports | ~99.8% |
| Nepal’s total imports | Rs 1,894.10 billion |
| Nepal’s total exports | Rs 277.97 billion |
| Trade deficit | Rs 1,616.13 billion |
A War Nepal Was Quietly Part Of
The Falklands War of 1982 is a distant memory for most Nepalis, but it left an indelible mark on the nation’s psyche. Gurkha soldiers from Nepal served in the British Army during the campaign to retake the islands. The 1st Battalion, 7th Duke of Edinburgh’s Own Gurkha Rifles fought near Mount William, and their reputation preceded them—Argentine troops were reportedly anxious about facing the legendary warriors. Some Argentine voices called them “mercenaries,” a term rejected by Gurkha veterans. This conflict, though not between Nepal and Argentina, created a historical link that few today recall.
What’s Next for Nepal-Argentina Trade?
The trade relationship shows no signs of diversifying. Nepal’s dependence on Argentine edible oils is structural: the country lacks sufficient domestic oilseed production and relies on imports for refining and consumption. With global vegetable oil prices volatile, Nepal’s import bill could fluctuate significantly. The government’s Nepal economic survey 2082 83 highlights the need to boost domestic production, but for now, Argentina remains a critical supplier. Meanwhile, the broader trade deficit—Rs 1,616.13 billion—underscores the challenge of balancing imports with exports.
Where to Watch: Tracking the Data
For those interested in following Nepal’s trade statistics, the Department of Customs publishes monthly updates on its website. The full annual report for FY 2082/83 is expected later this year. Analysts and policymakers will be watching to see if Argentina’s ranking holds or if other partners like the UAE or US close the gap.
Frequently Asked Questions
Why is Argentina Nepal’s third-largest import source?
Argentina supplies nearly all of Nepal’s crude edible oil imports—soybean and sunflower oil—which account for over 99% of the bilateral trade. This single commodity category catapulted Argentina to the third spot, ahead of the UAE and USA.
What did Gurkha soldiers do in the Falklands War?
Gurkha soldiers from the 1st Battalion, 7th Duke of Edinburgh’s Own Gurkha Rifles fought alongside British forces in the Falklands War, participating in the advance on Port Stanley. Their fearsome reputation preceded them, causing anxiety among Argentine troops.
How does Nepal’s trade deficit affect its economy?
Nepal’s trade deficit of Rs 1,616.13 billion in the first 11 months of FY 2082/83 puts pressure on foreign exchange reserves and highlights the need for export diversification. The heavy reliance on imports from a few countries, including Argentina, increases vulnerability to price shocks.
What other countries are Nepal’s top import partners?
India leads with Rs 1,092.02 billion, followed by China at Rs 382.25 billion. Argentina is third at Rs 99.30 billion, then UAE (Rs 50.99 billion) and USA (Rs 29.10 billion).
Can Nepal reduce its dependence on Argentine oil?
Reducing dependence would require boosting domestic oilseed production or sourcing from alternative countries. However, Argentina’s competitive pricing and established supply chains make it a tough competitor. Government initiatives like the Uniglobe Premier cricket academy show efforts to diversify, but trade patterns take time to shift.
