Khuwa boom keeps youth home

20 July, 2026

Anil Parajuli

At a time when many young Nepalis are leaving the country for foreign employment, a traditional khuwa (milk fudge) business in Chuchchekhola, Hetauda, is creating employment and income opportunities at home.

New and long-established entrepreneurs in Hetauda-6 and Hetauda-17, an area renowned for producing khuwa, are earning from tens of thousands to several hundred thousand rupees a month by producing and selling dairy products. The growing business has also benefited dairy farmers, milk producers, dairies, community forests and local workers.

Located along the Kanti Highway on the Hetauda-Kathmandu Road section, Chuchchekhola has become well known as a hub for khuwa production. More than a dozen entrepreneurs in the area process hundreds of litres of milk every day to produce khuwa, gundpak, pushtakari, peda, barfi and other traditional dairy delicacies.

Travellers commuting between Hetauda and Kathmandu frequently purchase these products as gifts and souvenirs. According to local entrepreneurs, improved road connectivity has further boosted trade.

Lakesh Sapkota of Hetauda-17 started his business producing and selling khuwa made from buffalo milk after many of his friends left Nepal for overseas employment. A third-year Bachelor of Business Studies (BBS) student, Sapkota now earns around Rs. 50,000 a month from the business with support from his parents.

Although most of his classmates went abroad after completing Grade 12, Sapkota said he was satisfied to have remained in Nepal and established his own enterprise. As the business continues to grow, he has become increasingly optimistic about its future.

According to him, travellers on the Hetauda-Kathmandu route regularly buy khuwa, gudnpak and pushtakari as gifts. He also plans to expand the business by introducing more vegetarian snack items. However, he admitted feeling somewhat disheartened that most of his friends had chosen to work overseas.

Krishna Prasad Timalsina, one of Chuchchekhola’s veteran entrepreneurs, has been producing khuwa since 1979. He said the business, which began with just two large pans and modest capital, has grown into an enterprise generating millions of rupees in annual turnover. He currently processes around 300 litres of milk each day, producing between 30 and 40 kilograms of khuwa. He attributed the growth of the business to improved road infrastructure and better market access.

Shyam Kumar Manandhar, who has operated Krishna Kanhaiya Khuwa Bhandar for the past 26 years, also produces more than 25 kilograms of khuwa daily from around 200 litres of milk. His business generates several hundred thousand rupees in monthly turnover and currently employs six people. Having started with a rented shop, he now owns two khuwa outlets as well as his own house and land. His wife and children also assist in running the family business.

Similarly, Madan Kumar Timalsina of Laxmi Narayan Khuwa Sales Centre returned to Nepal after working in Europe when his family’s dairy business began expanding. He said the business now saves the family around Rs. 100,000 a month after expenses, prompting him to return home and run the enterprise with his family.

According to local entrepreneurs, the growth of the khuwa industry has increased milk sales for local farmers, encouraged the expansion of dairy businesses and created demand for firewood supplied by community forests. They believe that strengthening market access for local products and supporting small enterprises could create more employment opportunities within Nepal and help discourage outward migration.

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