India and Nepal have taken another significant step toward boosting regional trade and seamless logistics by expanding rail freight connectivity under the revised Treaty of Transit. The updated framework is designed to give Nepal greater access to Indian rail networks, enhance cross-border cargo movement, and reduce transportation costs for businesses on both sides.
Under the revised treaty, Nepal will now have access to additional rail routes and terminals in India, enabling smoother movement of goods to key ports and industrial centers. The expansion also provides more flexibility for Nepalese importers and exporters, allowing them to choose from a wider range of rail-linked facilities for handling freight.
Officials from both countries noted that the upgrade to the transit agreement reflects the shared commitment to strengthening bilateral economic ties. The enhanced rail connectivity is expected to ease congestion at traditional transit points, improve turnaround times, and ensure a more reliable supply chain for essential commodities, consumer goods, and industrial materials.
The revised framework also supports Nepal’s growing trade ambitions by facilitating better integration with regional and global markets. With rail emerging as a more cost-effective and environmentally friendly mode of transport, the move is anticipated to significantly benefit cross-border commerce.
The initiative marks a milestone in India-Nepal cooperation, reinforcing ongoing efforts to modernize border infrastructure and create a more efficient, resilient, and mutually beneficial trade corridor.