&imwidth=800&imheight=600&format=webp&quality=medium "Major boost for Nepal as India launches direct rail cargo service")
A freight train loaded with canola grains has completed the first direct commercial journey from an Indian port to Nepal, marking the full operationalisation of upgraded cross-border rail transit rules between the two countries.
The 40-wagon rake arrived at the Nepal Customs Yard (NCY) in Biratnagar on Monday after departing from Kolkata Port. The consignment’s successful delivery represents a significant practical step in efforts to cut logistics costs and strengthen economic ties between India and its landlocked neighbour.
The broad-gauge rail link between Jogbani in India and Biratnagar in Nepal was jointly inaugurated in June 2023 by Indian Prime Minister Narendra Modi and then-Nepali Prime Minister Pushpa Kamal Dahal ‘Prachanda’. Funded entirely by a grant from the Indian government, the line was built to enable faster and cheaper movement of goods.
Commercial operations, initially constrained by the existing India-Nepal Treaty of Transit, saw changes. After prolonged diplomatic negotiations, the two sides signed a Letter of Exchange (LoE) on 13 November 2025 amending the protocol. The agreement explicitly permits direct rail transport of both containerised and bulk cargo from the ports of Kolkata and Visakhapatnam to designated points inside Nepal, including the Biratnagar customs yard.
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Until now, goods destined for Nepal typically required transhipment at the border, adding time and expense. Monday’s train bypassed those hurdles, travelling directly under the new framework. The arrival is seen as a “major milestone” for the country’s connectivity. The development is expected to significantly reduce transportation costs for Nepali importers and exporters, who have long relied heavily on Indian ports and road networks. It also allows Nepal to make fuller use of the Indian-built infrastructure.
