Do you want to import or export goods to Nepal? Do you know how to go about it? Are you familiar with the process? No? Then you will need to know all the processes of how cargo and customs clearances work. Every day, many businesses and people import and export their products, but the process can feel very confusing since there are quite a number of rules, documents, and steps involved.

And in this blog, we will try to explain cargo and customs clearance in Nepal in the simplest words possible for your understanding. This guide will be helpful whether you are a business owner who imports items or someone who wants to bring something from abroad, because it will detail: 

● What cargo services are available in Nepal

● How the customs clearance process works

● What kind of documentation is required.

● How much is the tax and fees you need to bear.

● Tips for smooth and hassle-free processing.

By the end of this blog, you will understand how you can import or export goods in Nepal yourself without any trouble. Or you can also hire us Cargo Nepal to let us do the services  for you. Anyway let's start now with understanding everything about cargo and customs clearance in Nepal!

Understanding Cargo Services in Nepal

Cargo simply refers to goods that are being transported from one place to another. Businesses and people depend on various cargo services for the importation and exportation of products in Nepal. The services stand to support the movement of goods by air, road, sea, or rail.

Types of Cargo Services Available in Nepal

1. Air Cargo (Fastest Option)

It is the fastest way of shipment and therefore highly expensive. It is mainly used for urgent shipments, items of value, and lightweight goods.

In which location does it occur?

● The main airport for air cargo in Nepal is Tribhuvan International Airport, which is located in Kathmandu.

● Goods are airlifted from countries like China, India, the USA, and the UAE.

Items commonly transported by air:

● Electronics: Laptops, phones, cameras

● Medicines and medical equipment

● Perishable goods: Fruits, seafood, and flowers

● High-value products: Gold and jewelry

2. Road Cargo (Best for Nearby Countries)

Nepal shares its land border with India and China, and therefore, most of the cargo is brought in via road. This is also the most common and most affordable mode of transportation.

How does it work?

● Trucks carrying goods arrive in Nepal from neighboring India and China.

● They arrive through customs checkpoints that include:

India–Nepal Border Checkpoints:

Pashupatinagar, Kakarbhitta, Bhadrapur, Biratnagar, Setobandha, Rajbiraj, Jatahi, Jaleshwar, Malangawa, Gaur, Birgunj, Bhairahawa, Taulihawa, Krishnanagar, Koilabas, Nepalgunj, Rajapur, Prithivipur, Dhangadhi, Mahendranagar, Jhulaghat, Rupaidiha, Banbasa.

Nepal–China Border Checkpoints:

Olangchungola, Kimathanka, Kodari, Rasuwagadhi, Larke, Yari, Mugu, Mustang, Tatopani.

Common items transported by road:

● Clothing and Textiles

● Machinery and Tools

● Construction Materials: Cement, iron, tiles

● Food and Essentials

3. Sea Cargo (For Large Shipments)

Even though Nepal does not have a sea, it uses Indian ports for the importation and exportation of goods by ship. The goods arrive at Indian ports and are then transported to Nepal by road or rail.

Main seaports used by Nepal:

● Kolkata Port (India) – Closest and most used port

● Visakhapatnam Port (Vizag Port in India) – Mainly utilized for bulk shipments

Common sea cargo moving items:

● Vehicles and auto parts

● Raw materials used in various industries

● Heavy machinery items

● Furniture and household goods

● Foods and animal feeds

4. Rail Cargo (Growing in Nepal)

Rail cargo is another new growing sector that moves cargo to Nepal. Compared to road cargo, it has better speed and can move large quantities all at once. 

Where does it operate?

● The Birgunj Dry Port is the main rail cargo station in Nepal.

● Trains bring goods from Indian cities directly to Nepal.

Common items transported by rail:

● Agricultural products

● Industrial equipment

● Heavy construction materials

5. Major Cargo Hubs & Dry Ports in Nepal

Nepal has a number of cargo hubs and dry ports where the goods are stocked, processed, and cleared to reach their last destination.

Important cargo hubs in Nepal:

● Tribhuvan International Airport Cargo Terminal – For air shipments

● Birgunj Dry Port – The biggest land port, connected with railways and highways that link with India

● Tatopani & Rasuwagadhi – Vital trade entry points for imports from China

● Bhairahawa & Kakarbhitta – Important for imports from India

The cargo services in Nepal helps both businessmen and individuals import and export items with much ease. Whether you choose by air, road, sea, or rail-each one has its own merits and costs. Knowing these options will help you in choosing the best way to move your goods efficiently.

Next up is how the customs clearance process works in Nepal. But before that if after reading all this you feel like you're not feeling secure enough to do this yourself then no worry we got you covered just reach out to us at Cargo Nepal and we will do all these processes for you. Well on with the next steps!

Nepal Customs Clearance Process: Step-by-Step Guide

Clearing customs is essential when importing goods into Nepal or exporting them abroad. Customs officials check shipments, calculate duties, and ensure all regulations are followed. Missing documents or incorrect filings can lead to delays, so it’s crucial to understand the process.

1. Import Clearance (Bringing Goods into Nepal)

Businesses must register for PAN/VAT before importing. Individuals importing small personal items do not need registration.

Documents Required:

● Invoice – A document issued by the seller stating the price, quantity, and details of the goods.

● Packing List – A detailed list of items in the shipment, including weight and packaging information.

● Bill of Lading/Airway Bill – A shipping document that serves as proof of transport by sea (Bill of Lading) or air (Airway Bill).

● Customs Declaration Form (CMR) – A legal document submitted to customs for clearance of imported goods.

● EXIM Code – A mandatory registration number for businesses involved in international trade.

● Certificate of Origin – A document verifying the country where the goods were manufactured.

● TT/LC (Telegraphic Transfer/Letter of Credit) – A secure payment method used to pay foreign suppliers for imported goods.

● Bibini (Foreign Exchange Approval) – Approval from Nepal Rastra Bank allowing foreign currency transactions for exports.

Once the shipment arrives, the documents are submitted through the ASYCUDA system or Automated System for Customs Data, an electronic system used by customs authorities to manage and process import/export documents efficiently in Nepal. The customs officer scrutinizes the invoice and classifies the goods under the HS Code or harmonized code, an internationally standardized system used to classify goods for customs purpose, for calculation of duty and taxes. These might include:

● Customs Duty – A tax based on the type and value of goods being imported. Rates vary depending on the product.

● Value-Added Tax (VAT) – A 13% tax on most products, calculated on the product's total value including customs duty.

● Excise Duty – A tax applied to specific products like alcohol, tobacco, and fuel.

● Other Charges – Additional costs for services such as storage, handling, and inspection fees. These may apply if goods are held at customs or need extra processing.

If necessary, customs can physically check the goods before giving final clearance. Don’t worry if you are confused about these terms related to calculation of duty and taxes, we will go into it in more detail later on below. Anyway, once the clearance is obtained, the importer must pay the charges and the shipment is delivered.

2. Export Clearance (Sending Goods from Nepal)

For exporting goods, the business should be registered under PAN/VAT. The procedure for export is almost similar to that of importation but requires different documentation.

Documents Required:

● Invoice & Packing List – Specifies the price, quantity, and description of goods being exported.

● Bill of Lading/Airway Bill – Proof of shipment issued by the transporter (sea or air).

● Customs Declaration Form – Required by customs authorities to approve and track exports.

● EXIM Code – A mandatory business registration for exporting goods internationally.

● Certificate of Origin – Confirms that the exported goods manufactured in Nepal.

● TT/LC – A secure payment method ensuring the exporter receives payment from the foreign buyer.

● APC(Advance Payment Certificate) – Issued by the bank, conforming that the exporter has received an advance payment from the buyer before shipment.

Goods to be exported must be declared at the customs checkpoint before exportation from Nepal. Certain products are subject to export duties or require special permits. Customs officers inspect the goods, if necessary, approve the shipment, and permit its transportation by truck, plane, or ship.

3. Common Challenges & How to Avoid Them

 Delays in Clearance

● Ensure all documents are correct before submission.

Unexpected High Customs Duties

● Check the HS Code and tax rates in advance.

Missing Permits or Licenses

● Check whether your merchandise requires special permission.

Shipments Held at Customs

● A customs broker will assist in explaining the process to complete customs clearance.

These measures will help the importers/exporters avoid delays, reduce extra costs, and speed up customs clearance easily. But if you think that these all are too much of a hassle or you don't feel secure enough then try to work with a company that provides 100% certainty and fully trusted, a reliable company praised and reviewed by many past clients, Cargo Nepal. Anywho now, let’s check some key documentation that is usually required for cargo and customs clearance.

Major Documents Required for Cargo and Customs Clearance

Documentation plays a very important role in the entire process of cargo and customs clearance within Nepal. In simple words, some key basic documents are used at both imports and exports of shipments, given as follows:

1. Invoice

The value of the consignment to be imported or exported is reflected in the invoice.

It contains the description regarding goods, such as quantity and price per unit along with its total value.

2. Packing List

This is a document showing the package and shipment details.

It assists the customs officers in matching the goods against what has been declared and whether all that has been declared has been found.

3. Bill of Lading (B/L) or Airway Bill

● The Bill of Lading applies to sea freight cargo.

● The Airway Bill applies to air shipments.

These documents are proof of shipment; they evidence transportation to Nepal or from Nepal.

4. Customs Declaration Form (CMR)

This is the form on which the nature and value of the goods are declared.

It contains details like:

● HS Code applied against the class of goods relating to taxes and duties.

5. Import / Export License

Where applicable. Some products require an exportation or import license, especially those in the lists of special controls, such as guns, chemicals, and all agricultural outputs.

Check if your product requires one before shipment.

6. Certificate of Origin

The Certificate of Origin shows which country the goods are made in.

This is important in any international trade deal because it allows the buyer's country to decide on the exact customs duty and tax payable.

7. Other Supporting Documents

Depending on the goods and their destination, you may also require supplemental documentation, including but not limited to the following:

● Health or Safety Certifications: For goods such as food, pharmaceuticals, and cosmetics.

● Insurance Certificates: To cover the goods in transit.

● Transit Documents: For goods transiting through other countries.

Customs clearance in Nepal requires all the necessary documents to be in proper order. Double-check everything to avoid any delays or hassles in customs. With the right paperwork, your cargo will move across borders without a hitch. Or you can also work with us Cargo Nepal for a simple, hassle-free experience with 100% certainty in import and export.

Duties, Taxes, and Charges on Cargo in Nepal

Import into Nepal requires the payment of a number of duties, taxes, and charges imposed by customs officials to ensure that correct regulations are followed for goods to be brought into or taken out of the country. These are based on the type, value, and origin of the goods. Below are the main fees you should know about:

1. Customs Duty

Customs duty refers to the tax levied on goods entering Nepal.

It is calculated based on the HS Code, which classifies goods by their type. The rate differs according to the product category.

2. Value-Added Tax (VAT)

VAT is charged at 13% on most of the imported goods.

VAT is calculated based on the customs value, which is the price of the goods plus customs duty. This means that after calculating customs duty, VAT is added to the total value of the shipment.

3. Excise Duty

Excise duty is charged on certain items, including alcohol, tobacco, and fuel.

Excise duty rates can range from as low as 10% to as high as 100% or more, depending on the product.

4. Customs Processing Fee

There is a fee for customs to process the shipment.

This is usually a fixed sum, though it varies depending on the volume or nature of the shipment.

5. Handling and Storage Fees

● Handling Fees: These cover the cost of moving and inspecting the cargo at the port of entry.

● Storage Fees: These apply if goods are held at the port for a longer period than usual. These fees can accumulate quickly, so it’s best to get your shipment cleared as soon as possible.

6. Import Permit Fees (Where Applicable)

Some products require an import license or permit, especially sensitive or controlled products.

These products also incur additional charges, depending on the product type.

7. Other Charges

● Transportation Charges: Applied if goods need to be transferred from the port to their final destination.

● Inspection Charges: These may be imposed if a physical inspection is carried out by customs.

It is important to understand the various duties, taxes, and charges applied to imports into Nepal. Knowing them in advance will help you get a good estimate of the total cost involved in bringing your cargo into the country, avoiding any unexpected charges at customs. If you feel all these are still too confusing then you can contact us at Cargo Nepal for a reliable and fast process.

Best Practices for Faster and Hassle-Free Customs Clearance

Now let's make it quick since we are near the end of this blog. Customs clearance can be quite complex and headache-inducing, sure, but you know what? It can be done way faster and without any problems if we follow some of the best practices. Below are some of such best practices for customs clearance:

1. Complete and Correct Documentation

Always ensure that documentation, whether involving invoices, packing lists, and the form covering customs declaration, are correct and completed.

2. Engage Services of Customs Brokers

A customs broker will handle the customs clearance paperwork with minimal or no errors and hence speeding up the process.

3. Pre-Classify Goods with HS Code

Ensure your goods fall under the right HS Code for avoidance of delay or incorrect calculation of duties charged.

4. Pay Duties and Taxes in Time

Clear customs duties and taxes in time to avoid any storage fees or penalties.

5. Check Import/Export Restrictions

Check that your commodities are not restricted or prohibited from entering or leaving Nepal.

6. Tracking and Information

Follow up with the status of your cargo and, should it receive any customs issues, get them sorted as soon as possible.

7. Communicate Clearly with Customs

Be available to respond right away if customs request additional documents or information.

8. Be Prepared for Inspections

Ensure your goods are well-packed and prepared for inspection if required.

9. Stay Updated on Customs Regulations

Stay abreast of the changes in the rules of import/export to avoid mistakes.

10. Keep It Simple

Keep to basic procedures and keep everything simple to speed up clearance.

You can facilitate faster, hitch-free customs clearances of shipments by being adequately prepared, well-organized, and proactive in advance. But still with all these knowledge it can still feel anxiety inducing and maybe there’s still a doubt in your mind that you may mess it all up somehow,  especially for first time importers or exporters. Don't worry, I understand and it’s completely normal and well here’s the solution for it too just reach out to us Cargo Nepal and we will do all these hard process for you with 100% certainty, quickly and securely without you having to worry too much at all.

Conclusion & Final Tips

We are now at the end, and by now, I hope that by now you have learned all the necessary important concepts related to customs clearance in Nepal. And if done correctly, it is quite a straightforward process if you will follow all the right steps and stay organized. By understanding the process properly, ensuring that you have all the required correct documents, and staying proactive, you can avoid any delays and extra costs.

Now for some final tips for you:

1. Plan Ahead:

Ensure that all of your documents are well prepared in advance.

2. Employ Experts:

A customs broker assists an exporter in going through this and can prevent blunders.

3. Watch Out:

Enquire about customs, regulations, and tariffs every now and then.

4. Clear Communication:

Keep in contact with customs and quickly respond to any request to avoid delays.

By following all these tips and concepts you learned in this blog, you’ll save time, reduce costs, and ensure a smooth experience with cargo and customs clearance in Nepal. Still if any problems do occur contact us Cargo Nepal and we will help you do the job quickly and securely and if you want to read more such blog do check out our many other blogs in Cargo Nepal.