Nepal’s fertilizer crisis: A symptom of a broken agricultural supply chain
Each planting season in Nepal brings not hope, but anxiety. It is not the weather, pests, or natural disasters that worry our farmers the most, but something entirely preventable: the shortage of chemical fertilizers. In a country where over two-thirds of the population relies on agriculture, and where farming contributes around 25 percent to the national GDP, this recurring crisis is not only unacceptable, it’s a warning sign. An empty fertilizer bag is no longer just a supply issue; it is a glaring symbol of institutional failure, poor planning, and a deeply broken supply chain that begins with global procurement and ends in rural despair.
This is not a seasonal accident. It is a systemic breakdown of policy, logistics, and governance that affects every stage of the fertilizer journey. From late international procurement to poor internal distribution, from political indecision in Kathmandu to black market networks in the Tarai, the entire chain is inefficient and unresponsive. The result: Nepal’s farmers are left helpless, food production suffers, and the country spends billions importing what we could grow ourselves if only we had the right inputs at the right time.
The most visible symptom of this failure is the infiltration of low-quality, smuggled fertilizers from India. In districts like Bara, Rautahat, and Sarlahi, these products dominate local markets during peak demand seasons. This parallel market thrives because the state fails to deliver. It is a market born not out of competition, but out of desperation. Farmers, left with no option, purchase fertilizers that have neither been tested nor approved, risking soil degradation, poor yields, and long-term harm to their land. These products often carry Nepali-language packaging to appear legitimate, but lack quality assurance, correct NPK ratios, or even basic labeling.
The official supply chain, at the heart of this crisis, is dysfunctional both in design and implementation. We have two state-owned entities handling import of fertilizer into Nepal: (1) Agriculture Inputs Company Limited (AICL), and (2) Salt Trading Corporation(STC). Between them, they are a leading importer of some 600,000 metric tonnes of chemical fertilizers (mainly urea, DAP and MOP) each year. The government supplies fertilizers to farmers through cooperatives at subsidized rates.
However, the theoretical framework rarely plays out in practice. Every year, tenders are issued too late, sometimes just weeks before the planting season begins. The process of floating tenders, finalizing contracts, opening letters of credit, and securing port clearance is slow, bureaucratic, and riddled with delays. By the time the fertilizers arrive in Nepal typically via the Kolkata port the planting season is either halfway through or already over. This lag forces farmers to either wait, reduce their cultivation area, or turn to the black market.
The international dimension adds another layer of vulnerability. Nepal heavily depends on imports from India and, to a lesser extent, China. While India remains the primary source due to cost and proximity, its export policies are unpredictable. When India restricts fertilizer exports to protect its domestic needs as it did in 2022 Nepal is left with few immediate alternatives. Unlike countries with multiple trading partners and buffer stock systems, Nepal lacks both diversification and contingency plans. It does not maintain strategic fertilizer reserves, which means even a small disruption in supply becomes a national crisis.
Transport and logistics further complicate the situation. Nepal, being landlocked, faces high freight costs and long transit times. The journey from Indian ports to border customs is often delayed due to procedural bottlenecks, truck shortages, or political strikes. Once inside Nepal, the distribution chain faces another hurdle: weak road infrastructure and lack of storage capacity, especially in remote and hilly districts. Often, even when fertilizers are available in Kathmandu or Birgunj, they fail to reach places like Rolpa or Bajhang in time.
This systemic failure has real, measurable consequences. According to recent trade data, Nepal’s annual agricultural import bill has surpassed Rs 360 billion, a figure that includes rice, vegetables, lentils, and wheat, all of which could be grown domestically if farmers were supported with timely inputs. In effect, we are importing food because we failed to manage the supply chain for the materials needed to grow it. It is a cruel irony, and an expensive one.
But this crisis is hollowing out trust well beyond the realm of economics. The farmers, destitute at the best of times, feel deserted by this over-promising state which is now busy with lies to rerun an election. As hope grows old and promises are not fulfilled, the inputs are not given. The disillusionment goes far deeper than farming; it spawns a lack of faith in governance, politics, and the prospects for their children to make a living in agriculture. This leads to large-scale youth ejection from farming either to migration or unemployment in the long run.
Fixing this broken system demands a fundamental and long-term change in policy. Fertilizer centralized procurement should be streamlined and an efficient/ predictable fertilizer distribution network established. Tenders should be given a larger window of time, six to eight months prior to the planting season, along with an associated timeline and accountability. Policy Frameworks should contain those Windows as an emergency measure so that State/Deptt. can make quick purchases in case of missing out on the stock/time. And, just as importantly, Nepal must reduce its vulnerability stemming from a single source country by creating relationships with other suppliers in the Middle East and Southeast Asia.
Infrastructure investment is also critical. Provinces and districts will have to improve their storage capacity. Both supply and demand could be tracked in real-time using the introduction of digital inventory systems. It is also focused on the road access to rural markets that must be addressed for not only fertilizers, but for broad economic development. The last mile of the delivery spectrum is maintained through cooperative networks which should also be trained and invited to become capable technically to get tech developed and inaugural incentives.
One without the other simply won't cut it. It is not just a case of isolated smuggling of fertilizers; it appears to be an organized trade involving loss of hundreds of crores and operates without any fear. What the government can immediately do is to wake up and now indulge in strengthening border monitoring, step up on-ground inspection of retailers, begin a public awareness drive or warn farmers of the dangers of using unverified fertilizers. Punishments pertaining to the smuggling and selling of substandard fertilizers should be enhanced, enforced.
In the long term, Nepal must begin shifting toward more sustainable and locally sourced alternatives. Organic fertilizers, composting systems, and bio-fertilizer technologies are underdeveloped but promising areas. Investment in research and farmer education can gradually reduce our overreliance on imports and create a more resilient agricultural model. This will also align with global trends toward regenerative agriculture and climate-resilient farming.
Nepal’s fertilizer crisis is not just about a missing product it is a reflection of missing priorities. Year after year, despite media reports, farmer protests, and parliamentary debates, little changes. Until we treat this issue with the urgency and seriousness it demands, the same story will repeat itself every season. Fertilizers will arrive too late. Farmers will turn to black markets. Yields will fall. Imports will rise. And the nation will pay the price not just in money, but in missed opportunity.
If Nepal aspires to feed itself and grow through agriculture, then the fertilizer crisis must be treated not as an exception, but as a central challenge. It is a test of our governance, planning, and ability to deliver. And it is one we can no longer afford to fail.
Ravindra Kumar Yadav
Amar Prashad Gupta
MBA Global Business
SAIM College, Mid-Baneshwor
Unlocking entrepreneurship: Understanding company registration
Starting a business in Nepal is an exciting journey, but before you can open your doors to customers or start making profits, it is very important to make your business official and legal. This official recognition comes from registering your company with the Office of the Company Registrar (OCR). Company registration is not just paperwork; it is a legal requirement under the Companies Act, 2063, which explains the rules for forming, managing, and running companies in Nepal. A registered company is considered a legal entity, meaning it exists in the eyes of the law as a separate person from the owners. It protects the owners’ personal property if the company owes money or faces legal problems. A registered company can also own property, sign contracts, hire employees, and even participate in legal actions.
In Nepal, businesses can register as different types of companies depending on their goals. The most common is a Private Limited Company (Pvt Ltd), which is suitable for small and medium-sized businesses and can have 1 to 50 shareholders. A Public Limited Company is for larger businesses that want to sell shares to the public and raise more capital. A Non-Profit Company is designed for organizations that aim to serve society rather than make profits. Registering a company brings several advantages: legal recognition, limited liability, easier access to funding, and enhanced credibility with customers, suppliers, and investors. Understanding company registration is the first step toward running a secure and successful business in Nepal.
Registering a company in Nepal may seem complicated, but the Companies Act, 2063 provides clear steps to follow. The first step is reserving a unique company name through the OCR online portal or at their office. The name must not be used by any other company and should reflect the business activity. In recent years, online company registration in Nepal has made this process faster and more convenient for entrepreneurs, allowing them to check name availability, submit documents, and track applications from their computer or mobile device without visiting the OCR office physically. After name approval, the next step is preparing the required documents.
The Memorandum of Association (MOA) describes the objectives of the company, what it plans to do, and its total capital. The Articles of Association (AOA) set rules for managing the company, including director appointments, meetings, and decision-making processes. Shareholders and directors must provide a copy of their citizenship certificates and a consent letter agreeing to join the company.
Proof of the company’s official address is also required. Once the documents are ready, they are submitted to the OCR, either online through the e-Services portal or physically at the office. The OCR verifies the documents and ensures they comply with the law. If everything is correct, the OCR approves the application and issues a Certificate of Incorporation, officially recognizing the company and allowing it to operate legally, open bank accounts, and sign contracts. Following these steps carefully helps prevent legal issues and ensures smooth business operations.
The Companies Act, 2063 governs all aspects of companies in Nepal, including registration, management, operations, and closure. Understanding this law helps business owners stay compliant and avoid fines or penalties. Important sections include Section 3, which explains basic rules for forming a company, including types and minimum shareholders; Section 4, which describes the application process and required documents; Section 5, which focuses on registration approval and issuance of the Certificate of Incorporation; Section 6, which lists the powers and duties of the OCR; and Section 7, which outlines conditions under which a company can be canceled.
The OCR is the main regulatory authority responsible for ensuring companies follow these rules, but other authorities such as the Inland Revenue Department (IRD) and local government offices also supervise compliance, taxation, and licensing. Entrepreneurs who understand this legal framework can avoid problems and maintain a smooth and trustworthy business operation.
After registering a company, the work does not end. The Companies Act, 2063 and other laws require ongoing compliance. Every company must register with the IRD to obtain a Permanent Account Number (PAN) and, if applicable, register for Value Added Tax (VAT). Certain types of businesses, such as restaurants, travel agencies, or import-export companies, may need additional licenses from local or national authorities. Companies must also submit annual returns to the OCR, showing financial status, number of shareholders, and main activities.
Proper financial statements, including balance sheets, income statements, and cash flow statements, must be prepared every year. Regular board meetings must be held, and detailed records must be maintained to ensure transparency and proper decision-making. Failure to comply with these rules can result in fines, penalties, or even suspension of business operations. By following post-registration requirements carefully, companies can build trust with investors and customers while ensuring long-term success.
Registering a company in Nepal is the first step toward creating a strong and successful business. By understanding the types of companies, following registration steps, complying with the Companies Act, 2063, and maintaining post-registration requirements, entrepreneurs can build legally recognized businesses that are credible, protected, and ready for growth. Proper registration not only protects owners but also opens doors to funding, business opportunities, and a trustworthy reputation. Every entrepreneur should take registration seriously and seek professional guidance when necessary to ensure a solid foundation for the future.
Prabin Kumar Yadav
BA LLB, Kathmandu School of Law
Learn art through Instagram
Want to learn how to draw or paint but don’t know where to start? There are some really cool Instagram accounts that can help. With tips and tricks hidden in these pages, we guarantee you will soon no longer be intimidated by a paintbrush anymore.
@watercolor_tutorials
Though the page doesn’t have new posts (there has been none for a while), there are plenty of old posts (over 1,800 to be exact) that offer step-by-step watercolor lessons. The posts are mostly nature-inspired so you will enjoy the calmness it brings to the exercise as well.
@pamelagroppeart
Free content doesn’t get better and more accessible than this. It’s a great place for beginners and especially if you want to learn to draw and paint flowers. There’s also a website and a YouTube channel if you want to explore more.
@drawing.collection
If you want to take things slow and build a skill, you could benefit greatly from this page that offers drawings tips and tricks, and for free too. You will learn how to sketch a face, draw water, and how to paint hands among others. The tutorials are simple to follow and master.
@dream2draw
With over 18k followers and over 700 posts, this page is perhaps all that you need to become really good at sketching, especially if you want to learn how to draw people. It might seem a bit overwhelming at first, but rest assured the tutorials will guide you perfectly into mastering the art of portrait drawing. All you need is a mechanical pencil, paper, and patience.
@watercolor_luftmensch
Run by a self-taught Nepali artist, this page will make you pause and wonder if painting with watercolor really is as easy as she makes it out to be. The artist says you have to let the color and water guide you. Some of her posts will show you exactly what she means. The process is simple but it takes a lot of practice and this page will motivate you to give it your best shot.
US suspends visas for Gaza residents after right-wing social media storm
The United States has temporarily halted all visitor visas for residents of Gaza to conduct “a full and thorough review” of recently issued medical-humanitarian visas. The move follows social media claims that Palestinians had entered the US, which drew criticism from right-wing figures and some Republican lawmakers citing national security concerns. In May, 640 visas were issued to holders of Palestinian Authority travel documents, Al Jazeera reported.
The suspension comes as Israel intensifies military operations in Gaza, where over 61,800 people have been killed in the past 22 months. Hundreds of thousands have been displaced, with the United Nations warning that widespread starvation, malnutrition, and disease are driving rising famine-related deaths.
Arab, Islamic nations reject Netanyahu’s ‘Greater Israel’ vision
Thirty-one Arab and Islamic countries, backed by the Arab League, OIC and GCC, have condemned Israeli Prime Minister Benjamin Netanyahu’s call for a “Greater Israel”, Xinhua reported.
In a joint statement, they said his remarks violate international law and threaten regional peace. They also denounced far-right minister Bezalel Smotrich’s approval of new settlements in the sensitive “E1” area and his rejection of a Palestinian state.
The groups warned against annexation and displacement of Palestinians, urged an immediate Gaza ceasefire, and demanded unhindered humanitarian access, according to Xinhua.
Iran's president to visit Armenia, Belarus
Iranian President Masoud Pezeshkian will begin a two-day visit to Armenia and Belarus on Monday, his office confirmed.
Political adviser Mehdi Sanaei said the trip aims to boost bilateral ties, particularly in trade, and finalize cooperation agreements. The visit was initially planned for late June but postponed, Xinhua reported.
Pezeshkian’s stop in Armenia comes shortly after Yerevan and Baku signed a US-brokered peace deal on Nagorno-Karabakh, which includes a new transit corridor across southern Armenia. Tehran has voiced opposition to foreign involvement in the region, warning against any shift in its geopolitical balance or borders.
Thai, Cambodian armies hold meeting on border issues
Thailand and Cambodia held a special Regional Border Committee meeting on Saturday in Thailand’s Trat province to address ongoing border concerns. Military commanders from both sides discussed ways to strengthen communication between their forces, avoid confrontations, and resolve disputes peacefully, according to Xinhua.
A memorandum of understanding was signed to reinforce cooperation and ensure stability along the frontier. Cambodian Defense Ministry spokesperson Lt. Gen. Maly Socheata said the meeting underscored the importance of fully implementing the ceasefire agreement. She expressed hope the talks would help restore peace, stability, and normalcy in the border areas for the benefit of local communities.
6 dead in nursing home fire in northern Portugal
A fire at a nursing home in Mirandela, northern Portugal, killed six residents and injured 25 early Saturday. Authorities said the blaze likely began with an anti-bedsore mattress, with victims dying from flames and smoke inhalation, Xinhua reported.
The facility housed about 90 elderly people. Several were hospitalized, while others are being relocated. Officials confirmed the incident is unrelated to ongoing wildfires in the country.







