Kathmandu [Nepal], September 9 – Nepal-China trade has been severely disrupted after a devastating flash flood in the Bhotekoshi River damaged infrastructure at the Rasuwagadhi-Kerung border and connecting roads in northern Nepal raising concerns over the timely supply and prices of chinese goods ahead of the major festival season.
The damage has stranded hundreds of cargoes carrying goods ordered for Teej, Dashain, Tihar and Chhath while traders have been forced to divert shipments through the Korala border in Mustang.
Ram Hari Karki president of the Nepal Trans-Himalayan Border Commerce Association, said more than 500 to 600 Chinese containers carrying festival goods had been moving towards Kerung when the Rasuwagadhi border was damaged.
More than 200 Nepali containers were swept away by the floods causing traders losses of at least Rs 2 billion, Karki said. Several businessmen were also killed in the disaster.
Around 176 cargo trucks have already been diverted to Korala but Karki said the route was not a practical year-round alternative because of its difficult terrain, high altitude and longer travel time.
Transporting cargo from China through Korala can take 10 to 12 days with the cost of moving a cargo vehicle from Korala to Kathmandu reaching around Rs 4,50,000 to Rs 5,00,000, an increase of about 10 to 15 percent according to traders.
The disruption has intensified pressure on Nepal’s northern supply chain as the Tatopani border is also not operating normally.
Traders have urged the government to take diplomatic initiatives to reopen Tatopani Customs. They say the route could provide a more practical alternative as goods can reach Kathmandu from Tatopani in around six to seven hours.