Tribhuvan International Airport (TIA) has become the largest export gateway with shipments through land border crossings being strangled by the Indian embargo.

During the first four months of the current fiscal year, exports through TIA were worth Rs8.27 billion while exports through Biratnagar Customs were recorded at Rs6.35 billion and through Birgunj Customs at Rs2.52 billion, according to Nepal Rastra Bank (NRB).  

TIA accounted for nearly 40 percent of the total exports of Rs20.95 billion during the review period. It was the only transit point to show an increase in exports which reached 11.5 percent while all the other transit points have witnessed a decline. The country’s total exports decreased 29.1 percent with Birgunj Customs showing the sharpest drop of 54.2 percent.

Damodar Regmi, deputy director general at the Department of Customs (DoC), said that exports through TIA had zoomed as a result of the closure of land routes and the efforts of the department to facilitate shipments by air.

“We have been keeping our cargo section open even during public holidays if there are export cargo awaiting clearance,” he said.

He said goods like handicrafts, jewellery and gutkha are exported through TIA Customs. Gutkha is particularly exported to the Middle East where Indians are the main customers, according to the DoC.

Shippers said that exports and imports through TIA would be even higher if there were regular flights. Airlines have had to slash frequency due to a fuel shortage, and fewer flights are available to exporters.

“The amount of cargo carried per flight has dropped from 1,200 kg to 800 kg,” said an international airline official. “This is because airlines have to refuel outside Nepal.” Due to the fuel crisis in the country, TIA has told international airlines to fuel up elsewhere.

Meanwhile, imports through all the land border crossings except the Kailali Customs Office have decreased, according to NRB. Imports through Kailali have jumped 57.5 percent to Rs4.08 billion. According to Regmi, import cargo due to enter Nepal through Nepalgunj has been rerouted through Kailali. “We used to collect revenues of Rs10 million daily from Kailali Customs, but they have tripled to Rs30 million,” said Regmi.

With the largest entry point Birgunj Customs being virtually closed, imports are being rerouted through other transit points like Biratnagar. During the first four months of the fiscal year, imports plunged 36.8 percent with Birgunj Customs recording the sharpest decline of 59.1 percent.

According to Regmi, there has been a growth in cargo arrivals from last week with the number of cargo trucks entering Nepal swelling to around 1,000 daily.