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Rasuwa border shutdown diverts Chinese cargo to Korala

The Armed Police Force checkpost in Jomsom recorded details of 66 cargo containers by Sunday evening. Officials said the number of containers heading toward Korala has been rising since the Rasuwagadhi border was shut down.
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By RSS

MUSTANG, Aug 31: Chinese cargo and containers previously entering Nepal through the Rasuwagadhi Kerung border point are increasingly being diverted to the Korala border in Mustang after the Rasuwa crossing was completely damaged by the devastating floods.



The Armed Police Force checkpost in Jomsom recorded details of 66 cargo containers by Sunday evening. Officials said the number of containers heading toward Korala has been rising since the Rasuwagadhi border was shut down.


Container driver Kumar Devkota said cargo originally scheduled to enter Nepal through Rasuwagadhi was being rerouted through Korala, prompting transport operators to take the alternative route.


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The shift is putting the Korala border, which has emerged as an alternative China trade route, under greater pressure. The government has increasingly used the border to facilitate cross-border trade when other northern entry points face disruptions.


The Mustang Customs Office collected Rs 6.92 billion in revenue in fiscal year 2025/26 after the Korala border was brought into operation as an alternative trade route.


Revenue collection has continued in the current fiscal year. The customs office collected Rs 290 million in the first month, Shrawan.


Mustang Customs Office chief Bidur Chudal said the office has an approved staff strength of 18, but only 12 employees are currently working there.


The diversion of cargo comes as the destruction of infrastructure along the Rasuwagadhi corridor has disrupted one of Nepal’s key trade routes with China. The shift to Korala could provide temporary relief for importers, but a sustained increase in cargo traffic could also put pressure on the border’s customs, transport and road infrastructure.


Authorities may therefore face the challenge of scaling up customs processing and transport facilities at Korala if the Rasuwagadhi route remains closed for an extended period.


 

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