India and Nepal on November 13, 2025 interchanged a Letter of Exchange (LoE) amending the Protocol to the Treaty of Transit between the two nations during a bilateral meeting in New Delhi between Union Minister of Commerce and Industry Piyush Goyal and Nepal's Minister for Industry, Commerce and Supplies, Anil Kumar Sinha. The signing will facilitate movement of rail-based freight between Jogbani (India) and Biratnagar (Nepal) including bulk cargo under an expanded definition. This liberalisation extends to key transit corridors — Kolkata-Jogbani, Kolkata-Nautanwa (Sunauli), and Visakhapatnam-Nautanwa (Sunauli) — strengthening multimodal trade connectivity between the two countries and Nepal's trade with third countries. The LoE enables direct rail connectivity along the Jogbani-Biratnagar rail link for both containerised and bulk cargo, facilitating transport from the ports of Kolkata and Visakhapatnam to the Nepal Customs Yard cargo station located in Morang District, near Biratnagar in Nepal. The Jogbani-Biratnagar rail link, constructed with grant assistance from the Government of India, was jointly inaugurated by the Prime Ministers of India and Nepal on 1 June 2023. The meeting also welcomed ongoing bilateral initiatives to enhance cross-border connectivity and trade facilitation, including the development of Integrated Check Posts and other infrastructure. India remains Nepal's largest trade and investment partner, accounting for a significant share of its external trade. These measures are expected to consolidate economic and commercial linkages between the two countries and support Nepal's access to third-country markets through Indian ports.
India and Nepal Sign Letter of Exchange to Expand Rail-Based Freight; Jogbani-Biratnagar Corridor Liberalised
On 13 November 2025, India and Nepal signed a Letter of Exchange amending the Treaty of Transit in New Delhi; the pact expands rail-based freight at Jogbani-Biratnagar including bulk cargo, liberalises Kolkata-Jogbani, Kolkata-Nautanwa and Visakhapatnam-Nautanwa corridors, and supports Nepal's third-country trade via Indian ports.
Key facts
- Piyush Goyal and Anil Kumar Sinha signed India-Nepal Letter of Exchange amending Transit Treaty Protocol in New Delhi on 13 November 2025
- LoE enables rail-based freight between Jogbani (India) and Biratnagar (Nepal) including bulk cargo under expanded definition
- Liberalisation covers Kolkata-Jogbani, Kolkata-Nautanwa (Sunauli), Visakhapatnam-Nautanwa (Sunauli) corridors
- Direct rail connectivity from Kolkata and Visakhapatnam ports to Nepal Customs Yard in Morang District near Biratnagar
- Jogbani-Biratnagar rail link was inaugurated by PMs of India and Nepal on 1 June 2023 using Government of India grant assistance
Mains angle
Q: Examine the strategic and economic significance of the India-Nepal Letter of Exchange (November 2025) amending the Treaty of Transit for rail-based freight expansion.
Answer (50 words):
On 13 November 2025, India and Nepal exchanged a Letter of Exchange amending the Treaty of Transit, signed by Commerce Ministers Piyush Goyal and Anil Kumar Sinha. It expands rail-based bulk cargo on the Jogbani-Biratnagar link and liberalises Kolkata-Jogbani, Kolkata-Nautanwa and Visakhapatnam-Nautanwa corridors, reinforcing Nepal's third-country trade via Indian ports.
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On 13 November 2025, India and Nepal signed a Letter of Exchange in New Delhi amending the Protocol to the Treaty of Transit. Which rail link primarily benefits from this liberalisation, enabling direct rail freight including bulk cargo?
The Letter of Exchange signed on 13 November 2025 primarily liberalises the Jogbani (India) – Biratnagar (Nepal) rail link for containerised and bulk cargo, linked to Kolkata-Jogbani, Kolkata-Nautanwa and Visakhapatnam-Nautanwa corridors. This rail link, built with Government of India grant assistance, was inaugurated by the PMs of India and Nepal on 1 June 2023.
Source: Press Information Bureau (Ministry of Commerce and Industry)
Frequently asked questions
Who signed the India-Nepal Letter of Exchange on 13 November 2025 and where?
Union Minister of Commerce and Industry Piyush Goyal and Nepal's Minister for Industry, Commerce and Supplies, Anil Kumar Sinha, signed the Letter of Exchange during a bilateral meeting in New Delhi on 13 November 2025.
What does the Letter of Exchange amend?
It amends the Protocol to the Treaty of Transit between India and Nepal, to facilitate movement of rail-based freight between Jogbani and Biratnagar including bulk cargo under an expanded definition.
Which transit corridors are liberalised under the new arrangement?
The key corridors are Kolkata-Jogbani, Kolkata-Nautanwa (Sunauli), and Visakhapatnam-Nautanwa (Sunauli), strengthening multimodal trade connectivity.
When was the Jogbani-Biratnagar rail link inaugurated?
The rail link, built with Government of India grant assistance, was jointly inaugurated by the Prime Ministers of India and Nepal on 1 June 2023.
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