The water and food nexus

Despite Nepal's vaunted water resources, there isn't enough for growing more food.

Nepal's location squeezed between China and India has created a high degree of economic dependency, particularly on the southern neighbour, as it controls access to the sea and, through trade and transit agreements, can set conditions for the exchange of goods and services. These attributes have played a part in shaping the predominantly agrarian-based economic status of the country. But for over the last two decades, the agriculture sector in Nepal has not been able to maintain pace with the ever-growing food demand. From its food exporting position, the country has turned into a food deficit country. And food imports, mainly from India, have been skyrocketing, increasing the trade deficit with that country. Growing more food and returning the country to its original food exporting status remains a significant challenge.