Export performance and direction of trade of major Agricultural commodities exported from India with special reference to Nepal

Abstract

The current study intended to study the growth rate of export of agricultural commodities from India to Nepal from the period 1992-93 to 2021-22 and to know the direction of trade of Non-Basmati Rice, Maze, Wheat, Cereal Preparations which are major commodities imported by Nepal. The secondary data required for the study was obtained from APEDA. The growth rate was calculated using Compound Annual Growth Rate technique. The growth rate was observed the growth at a growth rate of 9.31 per cent it has variations within the selected study period but shows positive growth rate. The dynamic nature of trade pattern of the selected commodities was analyzed by employing the first order Markov process by examining gains and losses in respect of export shares of major Indian agricultural commodities to different countries. For major five selected products for the period from 2012-13 to 2021-22. Through the TPM we noticed that the major agricultural commodities which were imported by Nepal are also imported to many other countries in the same manner where Nepal retains its majority of share with and also loses part of its share to few new export destinations of India. Efforts should be taken to promote export of selected products from India to explore and exploit potential of other markets and to avoid overdependency on few countries.