Agrarian production is geographically tied primarily to the Terai strip, wide river valleys and flat areas of mountain slopes. Arable land occupies 21% of the territory. More than half of the arable land remains in the hands of only 9% of large landowners. Rice (50% of the cultivated area), leguminous mixtures, wheat, corn and barley are cultivated primarily. The average yield is low – 18.5 c / ha. Jute (for sale), tobacco, potatoes, sugar cane, indigo and opium poppy are grown in significant quantities. Vegetables, oats, spices and a number of fruit crops are also cultivated. Among the intermontane basins, the most developed agriculture are the Kathmandu and Pokhara valleys. Grain production declined slightly across the country, including the Terai region, necessitating an increase in grain imports from India. Although the harvest in 1998 turned out to be higher than in 1997, and amounted to approx. 6.9 million tons of grain, it is not enough to meet domestic needs. The population of the Greater Himalayas especially suffers from the lack of food.

Agriculture in Nepal is poorly mechanized. On the lower slopes of the ridges and in the valleys, terracing is actively practiced in order to expand the arable area.