Unseasonal rains have severely damaged physical infrastructure at Rasuwa and Tatopani, Nepal’s main customs checkpoints with China, leading to significant trade losses. According to the Nepal Himalayan Cross-Border Chamber of Commerce, floods have washed away roads and bridges, stranding imported goods. Around 300 to 400 containers remain stuck at Tatopani, while about 700 are stranded at Kerung. Even when the checkpoints were operational, 40 to 50 customs clearances remained incomplete daily.
Business owners have suffered heavy losses as perishable goods spoiled and items purchased on credit could not be sold on time. With prolonged delays, imported goods became more expensive, directly impacting consumers and reducing market activity. Consequently, businesses did not meet expected sales during the festive season. Additionally, export disruptions have affected national revenue and the livelihoods of workers dependent on the production of export goods. Despite these issues, the government has yet to devise short- or long-term strategies to ensure road connectivity after checkpoint blockages.
Repeatedly, disasters—including the 2015 earthquake and annual heavy rains—have disrupted these vital trade routes. Their geographic vulnerability to landslides and floods exacerbates the problem, with roads deteriorating every rainy season. However, the lack of durable infrastructure forces traders to rely on makeshift roads, posing significant risks. Reflecting on past conditions, former Industry Secretary Purushottam Ojha stated, “This did not happen before, but climate change has intensified floods and landslides. The government must adopt a strategic approach to maintaining supply chains considering climate change impacts.”
Every year, traders face financial losses due to supply delays caused by checkpoint blockages during the monsoon. Ahead of Dashain, they urged the government to invest in sustainable infrastructure, emphasizing the chronic lack of development at northern checkpoints. Nepal has 41 customs offices, of which only 28 to 29 operate regularly. The most rain-affected ones are the Rasuwa Customs Office in Timure, Rasuwa, and the Tatopani Customs Office in Larcha, Sindhupalchowk. According to Customs Department data, Rasuwa accounts for about four percent of Nepal’s total imports annually, while Tatopani handles around three percent. In the current fiscal year, Nepal’s total imports stood at Rs 988.58bn, with Rasuwa accounting for Rs 47.9bn and exports worth Rs 1.66bn. On average, Rasuwa contributes about one percent of Nepal’s total annual exports to China. Meanwhile, Tatopani recorded imports worth Rs 27.25bn in the first seven months of this fiscal year, though no exports have been reported so far.
Despite Tatopani’s significance as Nepal’s primary trade border with China, it perennially faces road infrastructure challenges. Floods and landslides frequently wash away the main road connecting Tatopani, forcing traders to transport goods at great risk. Business owners lament the government’s failure to conduct long-term repairs on the Barabise-Tatopani road. The route’s precarious location along the Bhotekoshi River, flanked by steep mountains, further heightens the risk of road collapses.
This recurring issue has worsened in recent years, especially during major festivals, leaving imported goods stranded for months. Such disruptions challenge the government’s revenue targets while raising business costs. Supply chain delays ultimately burden consumers with inflated prices.
Climate change has intensified extreme weather patterns, leading to increased incidents of floods and landslides that obstruct trade routes. Over the past three to four years, Nepal has experienced heavy rains from the monsoon through the festival season, worsening the situation at northern customs checkpoints. These unnatural floods have repeatedly collapsed roads and bridges, paralyzing trade.
Despite ongoing appeals, traders argue that the government has not prioritized road maintenance at Tatopani. This year, checkpoint blockages caused massive financial losses due to shipment delays. Kamlesh Kumar Agrawal, president of the Nepal Chambers of Commerce, highlighted the dire state of infrastructure, stating, “The northern border lacks proper infrastructure, and the temporary roads and bridges are inadequate due to natural disasters. This adds to traders’ expenses.”
Following a 26-day blockade during Dashain, traders met with the Commerce Minister to demand sustainable infrastructure development. Agrawal noted, “The government never outright rejects business concerns, but bureaucratic delays ultimately shift the burden onto consumers.”