Kathmandu, July 21: The first cargo train carrying industrial raw materials from third countries arrived at the Integrated Check Post (ICP) in Biratnagar, eastern Nepal, on Monday. This marks a significant milestone following the amendment of the Nepal-India transit treaty protocol last year, which allowed Nepal to utilize bulk and container cargo rail services at the Biratnagar ICP.
This is the first time the ICP, constructed with Indian assistance, has received a direct cargo train. Umesh Shrestha, the Chief Customs Officer at Biratnagar Customs Office, stated, “A cargo train filled with 40 containers of canola grain, used as raw material for Swastik Oil Industries, arrived at the ICP. A formal event will be held on Tuesday afternoon to celebrate the launch of direct rail cargo service from the Indian port.”
The cargo was transported by a train operated by the Container Corporation of India Limited (CONCOR). Each container was equipped with an Electronic Cargo Tracking System (ECTS), enabling real-time monitoring throughout the journey.
According to a press release from the Nepali Consulate in Kolkata, the cargo train departed from Kolkata port on July 17, consisting of 40 high-capacity containers delivered to the customs yard at Biratnagar ICP. The inaugural train service was flagged off by Jhakha Prasad Acharya, the Nepali Consul General in Kolkata, along with officials from Kolkata Customs, Kolkata Port, and CONCOR.
Shrestha mentioned, “Regular cargo trains will now arrive at this ICP. I have also learned that Nepali importers are negotiating with CONCOR for rail transport facilities for fertilizers and sponge iron in the near future.”
In November 2025, Nepal and India signed a Letter of Exchange (LOE) to amend the Nepal-India transit treaty protocol. This amendment cleared the way for bulk and containerized goods from third countries to be transported directly to Biratnagar ICP via rail. However, the implementation faced delays due to lengthy administrative and bureaucratic processes in India.
Previously, only four types of bulk goods—coal, clinker, cement, and fertilizers—were allowed to be transported from third countries to Biratnagar ICP under the Nepal-India transit treaty protocol. With the revised protocol, all types of goods from third countries can now be transported via rail to the Bhairahawa customs center in western Nepal.
Before the arrival of the first container cargo at Biratnagar ICP, the only rail-linked customs center for containerized imports from Indian seaports was the Birgunj ICP, located near Raxaul, India.
Umesh Shrestha expressed optimism, stating, “The commencement of rail services at Biratnagar ICP is expected to reduce transportation and logistics costs by 20 to 30 percent.” The rail service will lower port demurrage charges, container detention fees, and extra road transportation costs for Nepali importers. This will facilitate trade and enhance the competitiveness of Nepali industries.
Shrestha added, “Previously, importers had to rely on trucks to transport goods from Kolkata to third countries, which can now be transported more efficiently by container rail.”
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