Manufacturing output up 0.86% in 2025/26
Summary
Nepal’s manufacturing output rose by just 0.86% in FY 2025/26, driven mainly by vegetable oils and fats while most other industries declined. The sector also weakened in the fourth quarter, with 24 of 29 industry groups producing less than a year earlier.
Key Points
- Manufacturing output in Nepal increased by 0.86% in FY 2025/26, with the annual index rising to 128.4 from 127.3.
- The growth was driven mainly by vegetable oils and fats, while 22 of 29 industry groups recorded lower production.
- Pharmaceuticals grew by about 10%, but iron and steel, cement, plastics, beverages and tobacco all declined.
- Fourth-quarter manufacturing output fell 1.03% year-on-year, the first such drop in four years.
