April 9: Software export from Nepal has declined sharply by mid-February of the current fiscal year (FY 2020/21). In terms of volume, software export declined by about 89 percent in the first eight months of the current fiscal year.
The data received from the customs department up to February this year showed that the exports have declined significantly compared to the last fiscal  year. Only four software products were exported during the review period. According to the department, software products worth Rs 942,000 were exported to Japan during the review period.
However, 36 software products worth Rs 18.72 million were exported in the corresponding period of the previous year. During that time, six software products were sold to China and 30 to Japan, according to the Department of Customs. Based on the amount, software products worth Rs 45.96 million were exported to China and Rs 18.72 million to Japan.
During the fiscal year 2018/19, 48 software products worth Rs 239.82 million were exported from Nepal. Statistics show that export of software declined since last year.
During the coronavirus pandemic, the information technology (IT) sector in most countries of the world has leapfrogged to a great extent. However, this fact has made it clear that Nepal's IT sector has declined.
Nawaraj Kunwar, president of the Computer Association of Nepal (CAN), said that the decline in software production was due to the coronavirus crisis.
He also said that exports declined due to low demand from foreign customers.
"We make and export software as per the demand of foreign customers," he said. “But this time, the coronavirus affected foreign companies and industries. They have since cut down software purchases,” he added.
Although the IT sector of most of the countries in the world progressed during the coronavirus crisis, Kunwar admits that the IT sector of Nepal has not been able catch up with the big economies.

"The only sector that coronavirus has not affected is the IT industry. But, we have not been able to take advantage of that opportunity,” he said. On top of that, it has not been possible to work safely due to the infection. As a result, non-cooperation has curbed the development of the IT sector.
Compared to other countries, the cost of Nepal’s IT manpower is less expensive. As a result, software products can be made in Nepal at a low cost. According to CAN president Kunwar, foreigners are trying to buy software from Nepal as it is cheaper than other countries. He said that the country can export a large amount of software with good promotion and marketing.
Stating that Nepal can produce and export a large amount of software products with the support from the government, Kunwar said that the government should also use software made in Nepal and promote domestic IT companies.