Tuesday, October 14, 2025

Korala customs point can be leveraged to boost regional trade: Dhakal

Kathmandu, Sept. 28

The President of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI), Chandra Prasad Dhakal, has suggested that the Korala border post could be utilised for trade not only between Nepal, China, and India but also for facilitating regional commerce within South Asia.

While visiting the Nepal-China border pillar number 24 in Choser, Upper Mustang's Lomanthang Rural Municipality, on Sunday, he said that in order to operate the border post commercially, Nepal needs to develop infrastructure and manage human resources on its side of the customs area.

According to a statement issued by the FNCCI, he emphasised that Korala, as the shortest route connecting China and India, could play a significant role in promoting economic activities, tourism, and religious tourism. Dhakal pointed out that, given the interest and activity from China, Nepal should take full advantage of the opportunity and ensure efficient use of the border.

The Korala border is the shortest route (435 kilometres) connecting India and China.

"The recent bustle seen at Korala has confirmed its potential for commercial operations. Now, there should be no delay in developing the necessary infrastructure to make operations smoother," said Dhakal.

He suggested that if it is not feasible to develop government offices, settlements, and other infrastructures near the Korola border post, the government could consider establishing these facilities in Nechung, a lower area. This would make it easier to operate the customs post and provide essential services such as electricity, water, and internet.

Around 700,000 domestic and international tourists visited Mustang last year, emphasizing the region's potential for religious tourism. The district is also home to significant religious sites like Muktinath and Damodarkund.

Korala is particularly beneficial for religious tourism as it offers the easiest and most affordable route for pilgrims from Hindu, Buddhist, and Jain communities to visit the sacred sites of Kailash and Mansarovar.

According to Dhakal, to promote tourism in Mustang, the current fee of USD 500 charged to foreign tourists for entering Upper Mustang is unrealistic so it should be reviewed immediately.

President Dhakal reaffirmed the FNCCI's commitment to completing the Kaligandaki Corridor project quickly and ensuring that the Korola border post operates smoothly and sustainably. He also expressed the private sector's readiness to contribute to the necessary efforts to make these initiatives successful, emphasising the need for cooperation with the government and relevant authorities.

Meanwhile, our correspondent from Muktinath reported that Dhakal expressed his enthusiasm after learning that the Mustang Customs Office in Nechung had collected over Rs. 1.37 billion in revenue from imports of electric vehicles (EVs), electronics, and other goods since the end of August. He stated, "Korala can be used to expand trade across South Asia, and this border will also help reduce Nepal's trade deficit."

Amrit Bhatt, President of the Gandaki Province Chamber of Commerce and Industry, mentioned that if the government prioritises infrastructure development, with China also upgrading its customs facilities, the Korala border could turn Gandaki Province into a hub for economic activities.

During a discussion with local entrepreneurs and businesspeople from Jomsom, the FNCCI President stressed the need to end the tradition of looking for alternative routes only when issues arise at other border posts connected to China. This practice, he noted, is counterproductive, especially when Korala offers a more direct and reliable route.

Raju Prasad Lalchan, President of the Mustang Chamber of Commerce and Industry, suggested that improving and operating the road connecting Korala via Jomsom and Beni, a stretch of 186 kilometres, would ease the transportation of goods. He added that with the road passing through the flood-prone areas of neighbouring Myagdi district, a permanent solution is needed for the infrastructure to be effective.

 Published in The Rising Nepal daily on 29 September 2025.    

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