Just two weeks before Dashain, Nepal’s biggest annual festival, trade with China has been severely affected. All three main northern border crossings—Tatopani-Khasa, Rasuwagadhi, and Korala—are closed, leaving billions of rupees worth of festive goods stuck.
This disruption follows extensive damage from monsoon flooding and landslides that destroyed access roads, bridges, and highways leading to these border points.
Major Supply Chain Issues Amid Festive Season
According to the Department of Customs, Nepal imported goods worth over Rs 76.40 billion from China in the first two months of this fiscal year. However, the breakdown of infrastructure at key transit points has halted large-scale commercial transport:
- Tatopani-Khasa & Rasuwagadhi Closures: The Tatopani-Khasa crossing was shut down due to landslide risks along the Zhangmu port route. On August 26, heavy flooding from the Bhotekoshi River damaged the Rasuwagadhi border infrastructure, closing this route.
- Korala Route Cut Off: Trade shifted to the Korala border point in Mustang, where over 434 containers and 641 electric vehicles entered between September 10 and 25. However, recent flooding of the Kali Gandaki River washed away roads and bridges along the Beni-Jomsom highway, severing access.
- Stranded Cargo: Over 150 cargo containers and transport vehicles are currently stuck at the Mustang Customs Office, awaiting clearance and road access.
Impact on Retail Market and Price Increase Risks
Retail trade associations report that only 20 to 30 percent of imported Dashain stock, including garments, footwear, electronics, bags, and electric vehicles, has reached Kathmandu and other major cities.
Leaders from the Federation of Nepalese National Businessmen and regional trade associations urge the government to coordinate urgently with Chinese authorities and send emergency engineering equipment to clear landslide debris and repair critical bridge approaches.