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Cargo Diverted to Korala After Rasuwagadhi Closure

Cargo containers previously entering Nepal through Rasuwagadhi are increasingly being diverted to Mustang’s Korala border point after floods destroyed the crossing.

Nepalytix
5 min read
Cargo Diverted to Korala After Rasuwagadhi Closure

Cargo containers normally entering Nepal through the Rasuwagadhi–Kerung border point are increasingly being diverted to Korala in Mustang following the complete destruction of the Rasuwagadhi crossing in the floods.

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

Container drivers said goods that would normally enter Nepal through Rasuwagadhi are now being rerouted to Korala, increasing traffic along the alternative trade route.

The government had previously brought Korala border point into operation as an alternative crossing. Its importance has increased following the closure of Rasuwagadhi, which has disrupted a key trade route between Nepal and China.

The Mustang Customs Office at Korala collected Rs 6.92 billion in revenue during fiscal year 2025/26. The office generated an additional Rs 290 million in revenue during the first month of the current fiscal year according to customs officials.

The rising cargo movement could further increase the strategic importance of Korala as Nepal seeks to maintain cross-border trade amid infrastructure disruptions in the north.

However, the customs office is operating with limited manpower. Mustang Customs Office Chief Bidur Chudal said the office has 18 sanctioned positions but only 12 employees currently working.

The shift in cargo flows highlights how damage to Rasuwagadhi is forcing traders and the government to rely more heavily on alternative Himalayan trade corridors.

Nepalytix

Financial News Reporter