SDG 8: Decent Work & Economic Growth | SDG 9: Industry, Innovation & Infrastructure
Institutions: Ministry of Commerce & Industry | Ministry of Railways
India and Nepal signed a Letter of Exchange (LoE) in New Delhi to amend the Protocol to their 1991 Treaty of Transit, thereby enabling rail-based freight movement—including both containerised and bulk cargo—along new routes such as Jogbani–Biratnagar and corridors from the Indian ports of Kolkata and Visakhapatnam to Nepal’s Morang District. The move covers previously under-utilised transit corridors such as Kolkata–Jogbani and Visakhapatnam–Nautanwa/Sunauli. The rail link between Jogbani–Biratnagar, constructed with Indian grant assistance and inaugurated in June 2023, is now being further operationalised to enhance multimodal connectivity and trade facilitation.
The expanded rail-transit pact strengthens India’s Neighbourhood-First and Act East policies by improving connectivity, trade efficiency, and regional logistics integration. It aligns with PM Gati Shakti by shifting freight from road to rail, cutting costs and emissions, and supporting multimodal transport. For India, the new corridors deepen economic diplomacy with Nepal, enhance port-hinterland connectivity, and position Indian logistics hubs as gateways for South Asia’s land-locked economies..
Relevant Question for Policy Stakeholders: What steps are needed to ensure smooth customs coordination and efficient cargo handling along the new India–Nepal rail corridors?
Follow the full news here: India and Nepal Expand Rail Freight Linkage