Question

Explain the trend of Nepal's foreign trade. Also mention the measures for earning profit from foreign trade.​

Answer 1

Answer:

Explanation:

The trade balance is negative for all fiscal years as the volume of import exceeded the volume of export. ... Consequently, Nepal's trade deficit is very high and increasing rapidly every year. The persistent deficit in foreign trade is due to low production of export oriented goods and higher import of consumer goods.

Nepal's foreign trade is rapidly increasing but with the increase in the total volume of trade, the trade deficit is also increasing. In Nepal, the trade deficit is continuously increasing because of very few goods to export.

Measures for earning profit foreign trade in Nepal are:

1. Enhance industrial bases
2. Promote export-oriented goods
3. Give appropriate incentives to exports
4. Improve quality of goods
5. Adopt proper trade policies
6. Enhance training and skills