Historic direct freight train from India to Nepal cuts transit time, boosts trade ties

In a significant milestone for bilateral trade, the first-ever direct commercial container freight train from India to Nepal completed its journey from Kolkata Port to Biratnagar Customs Yard last week. The train, carrying canola oil in 40 tank wagons, marks a new chapter in India-Nepal rail connectivity.

The Northeast Frontier Railway operated the service, which is expected to substantially reduce transit time, logistics costs, and cargo handling, while improving efficiency, reliability, and competitiveness of cross-border trade, according to a statement from the Indian Railway Ministry.

This achievement builds on the broad-gauge rail link between Jogbani (India) and Biratnagar (Nepal), which was inaugurated in June 2023. Following the signing of a revised Letter of Exchange in November 2025, direct commercial rail movement to Biratnagar has now become operational, opening new opportunities for economic cooperation between the two countries.

The direct freight service is expected to provide a significant boost to the movement of import and export cargo by offering a faster, more economical, and environmentally sustainable mode of transportation. It eliminates multiple handling points, improving supply chain efficiency and reducing the risk of damage or loss.

Both Indian and Nepali officials have welcomed the development, viewing it as a pathway to enhanced economic integration in the region.