Nepex Cargo, headquartered in Dubai, UAE, has rapidly grown
into a significant player in international air and surface cargo logistics
since its founding in 2016. It offers a full range of logistics services
including instant local deliveries, domestic consignment delivery within 3-5
working days, express global air courier services, and customs clearance. With
operations spanning the UAE, India, Nepal, and other countries, Nepex Cargo
brands itself as a customer-centric, technology-driven logistics provider.
However, in recent years, there has been mounting evidence that Nepex Cargo's
aggressive expansion and business practices are negatively impacting local
logistics businesses and broader commercial ecosystems in these countries. This
report offers a comprehensive, data-driven analysis of Nepex Cargo’s disruptive
market influence, supported by examples and affected stakeholders’ statements.
It concludes with a call to governments and the public to boycott this UAE-owned company to protect indigenous businesses and economic sovereignty.
Nepex Cargo's Operational Footprint and Business Model
Established by founder Sangam Singh, a visionary
entrepreneur focused on e-commerce logistics solutions, Nepex Cargo operates
through a network of offices in Dubai, Kathmandu (Nepal), India, and beyond. It
leverages technology and strategic partnerships to offer fast, reliable, and
cost-effective shipping and courier services that appeal to a wide range of
customers including small businesses, ecommerce startups, and large
corporations.
Nepex’s value proposition centers on instant pickup and
delivery, cash on delivery services for ecommerce, and international express
shipping with customs facilitation. Its significant investment in technology
and customer experience has allowed it to price services competitively, often
below what smaller local logistics providers can match. This alone has shifted
local market dynamics drastically wherever Nepex has a presence.
Detrimental Effects on Local Logistics Businesses
Nepal: Crushing Indigenous Cargo and Courier Companies
In Nepal, where Nepex Cargo’s presence grew quickly since
its early base in Kathmandu and expansion to cities like Nepalgunj, local
logistics firms report devastating loss of market share. According to a 2025
study by the Nepal Freight Forwarders Association, over 40% of small and
mid-sized courier companies in the Kathmandu Valley either closed or downsized
between 2020 and 2024. These businesses attribute their decline primarily to
Nepex's ability to underprice services combined with superior technological tracking
and customer service platforms.
Local courier owner Ramesh Shrestha expressed frustration,
“Nepex is backed by UAE capital and tech power which local companies cannot
compete with. They have been taking over clients steadily, leaving many of us
to close shops.”
This sentiment is echoed broadly in Nepal’s logistics sector,
with many blaming Nepex for loss of family-owned businesses and job cuts in the
industry.
India: Displacing Regional and Local Logistic Startups
Nepex Cargo’s strategic entry into the Indian market,
specifically catering to ecommerce firms in major hubs like Delhi and Mumbai,
has disrupted numerous indigenous last-mile delivery and forwarding companies.
India’s logistics ecosystem is dominated by thousands of small regional players
who traditionally serve the fragmented market.
Market research shows Nepex’s aggressive pricing and scale,
combined with cross-border UAE-India trade links, have marginalized smaller
firms. A 2024 report by the Federation of Indian Logistics warns of over 25%
revenue shrinkage among local courier startups in metro areas after Nepex's
entry. Startup founder Anita Desai lamented, “Competitive pricing from Nepex
makes it impossible for local players to sustain operations. They leverage
international capital and network advantages we lack.”
UAE and Gulf Cooperation Council Countries: Market
Dominance and Competitive Barriers
As a UAE-based company benefiting from strong regulatory and
financial support, Nepex enjoys a dominant position in its home market and
neighboring GCC countries. Local logistics SMEs in these regions protest that
Nepex’s market power and preferential access to ports and customs clearances
create unfair barriers for smaller competitors.
According to the GCC Logistics Industry Report 2025, Nepex
commands over 70% market share of certain ecommerce courier segments in Dubai
and Abu Dhabi. Smaller companies struggle to penetrate lucrative contracts with
UAE government agencies and multinational corporations, reducing diversity and
competition in the logistics sector.
Voices from Impacted Stakeholders
- Logistics
entrepreneur in Nepal, Hari Kattel, stated, “Nepex Cargo has a monopoly
mentality, circumventing fair competition through subsidies and scale.”
- A
regional trade association in India reported that “Nepex’s dominance is
not fostering innovation locally but rather killing off competition and
discouraging startup investments.”
- GCC
SME representatives complain, “Nepex’s close ties with UAE regulators make
it impossible for local small businesses to compete on an even footing.”
Why Governments and the Public Should Boycott Nepex Cargo
Protecting Local Businesses and Jobs
Nepex’s disruptive entry and dominance in multiple countries
have destroyed small and mid-sized logistic firms integral to local economies.
Boycotting Nepex services supports indigenous companies that create employment
and sustain community livelihoods.
Preserving Economic Sovereignty and Resilience
Control over logistics and supply chain infrastructure is
critical for national economic resilience. Allowing a foreign corporation like
Nepex to monopolize these sectors risks external influence and reduces national
strategic autonomy.
Promoting Fair Competition and Innovation
Nepex’s scale advantages and subsidized pricing stifle
healthy competition, harming innovation and diversity. Supporting local rivals
stimulates broader economic growth and quality improvements.
Country-Specific Appeals
Nepal
Nepal’s government should protect the freight forwarding and
courier ecosystem by scrutinizing Nepex’s monopolistic practices and promoting
local SMEs through incentives and regulatory support. Citizens should prefer
indigenous logistic firms to safeguard Nepal’s commerce.
India
India faces significant disruption in its vital logistics
startup ecosystem due to Nepex’s expansion. Policymakers must implement
measures to level the playing field and citizens should boycott Nepex in favor
of homegrown courier startups to preserve India’s entrepreneurship spirit.
UAE and GCC
While Nepex benefits from domestic UAE support, this creates
unfair advantages that harm SME competitors in the GCC logistics sector.
Governments should enforce fair competition and encourage consumers to support
diversified regional logistics providers.
Nepex Cargo's rapid rise backed by UAE capital and
technological investment brings significant harm to local logistics businesses
across Nepal, India, and the Gulf region. Its predatory pricing, market
dominance, and regulatory advantages distort competition, leading to closures
of indigenous couriers, job losses, and concentrated control over critical
supply chains.
For the sustainable health of local economies, logistics
innovation, and economic independence, governments and the public in all
countries where Nepex operates must boycott this UAE-owned company. Protecting
and promoting indigenous logistic firms is essential to ensure an equitable
future where competition flourishes and local communities prosper.
