‘India is our biggest bet’: Nepal’s only billionaire Binod Chaudhary eyes Wai Wai IPO

Nepal’s only billionaire, Binod Chaudhary, is doubling down on India as the centerpiece of his global expansion. He has recently published a book, “Made in Nepal," to pitch his country as a potential manufacturing hub, sandwiched between two of the biggest consumer markets in the world and which offers cheaper labour. In an exclusive interview with Firstpost’s Rajat Mishra, the CG Corp Global chairman speaks about plans for a potential Wai Wai IPO, rapid hospitality expansion, and reasons why he believes India offers the most compelling growth opportunity anywhere in the world.

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Edited Excerpts:

What prompted you to write this book in the first place, Made in Nepal****? After being in business and on the ground for many years now, why this book and why presently?

Well, you know, my first book came out in 2013 in Nepali, Making It Big, which did extremely well. It was originally published in Nepali and, to date, remains one of the bestsellers. It is a very honest, sincere story of a simple man—a small man from a small country—who had big dreams and decided to take the company global, something people would not normally even plan or imagine for a country like Nepal.

A lot has happened since 2013. Covid happened, the 2015 earthquake happened, and the Gen Z movement happened. Nepal is now a changed country, both politically and in terms of governance. Therefore, this book is a continuation of that story, but with a different narrative. It captures what I have done, or what our group has done, from 2013 to the present.

It also talks about why the Gen Z movement is what it is, what it means for a businessman to be in active politics, and what it means to plan the legacy of a company in perpetuity—rather than just building a company, a conglomerate, or a global enterprise, only to see it completely shattered within three generations due to family issues.

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It is my life. It is also, in many respects, the economic part of the life of Nepalese people—of every Nepalese entrepreneur, or any entrepreneur who dreams of going beyond the frontiers of Nepal as a country. That is the essence.

Building a business in Nepal, where few global success stories exist—what milestones shaped you, and when did you feel closest to failure?

Well, no, I don’t think that is the correct perspective. You can do business. In a country where there have been many changes of government, where political transition is a never-ending, ongoing process (30 governments in 25 years’ time, etc.), it does bring an added sense of challenges because of policy inconsistency and execution.

But that doesn’t mean you can’t do business. There are many companies that are very successful, including many in our group. If we had not been able to navigate our group successfully in our country, we wouldn’t have become a global enterprise. We wouldn’t have been able to grow beyond Nepal.

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So, it’s tough, it’s difficult, it’s been a challenge—but it’s highly doable, and we’ve done it. And that’s precisely the message that Made in Nepal wants to convey. Wherever there are challenges, wherever the business environment is more demanding, that’s what gives you the first-entry advantage.

In the book you have described moments when the goal was survival, not growth? What was the single toughest phase where you thought the business might not survive?

Let’s put it this way. Let me define it—when I say that the goal was to survive, this was in the context of situations like Covid or the 2015 earthquake, which was a massive one—one of the largest the country has ever suffered—and the entire country was shaken.

The priorities of the country changed, and the confidence of the people changed. The construction industry, in particular, went through a phase where there were no construction materials or people available to rebuild Nepal.

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There have been phases when keeping the company afloat was a bigger challenge than growth. Therefore, growth had to be achieved through expansion—by opening new frontiers, by going into newer markets. And that’s what CG did.

You also wrote that entrepreneurs in Nepal had to succeed despite the system, not because of it. Has that system improved today? Has Nepal become more conducive for doing business?

Well, let’s see—we have to observe that. We have seen a major, unprecedented political change in the country. On the 6th of March, we elected a new parliament led by a 37-year-old prime minister, a young man who was a rapper— Balen Shah.

His cabinet includes people mostly in the age bracket of 40, many of whom hold PhDs and master’s degrees in different disciplines. More than 70 per cent of the members of parliament are also under 50. So, it’s a very young parliament and a very young government.

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This government has emerged against the backdrop of the Gen Z movement. If you read my author’s note in the book, it explains the background—why there was such a strong cry for change. This wasn’t just about changing a government but about changing the entire regime.

It was the culmination of 35 years of hardship that the people of Nepal, especially the youth, had to go through. As a consequence, over 10 million people had to leave the country in search of jobs. Every household experienced the impact, resulting in broken families. Yes, money came in. About 35 per cent of our GDP comes from remittances. That’s another story. Although people did not starve, the emotional fabric of families suffered deeply.

At the same time, people saw governments changing one after another, without prioritising systemic correction, rebuilding Nepal, creating job opportunities, or effectively utilizing available investments.

Banks are flush with liquidity. Around $20 billion is coming into the country, but there is no effective investment happening to create jobs or opportunities for people. There is also insufficient expansion of local economic activity—whether in manufacturing or services—to absorb the 500,000 people who graduate every year.

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So you seem very optimistic about the current regime?

I am optimistic—optimistic for two reasons.

The Gen Z movement has emerged. Yes, there was a lot of vandalism, destruction, and torching of important infrastructure—both private and government. Many wrong elements entered the Gen Z movement. But the movement’s objectives and aspirations were very pure. It was driven by the need for complete change—not just a change in generation but also in the way political parties have behaved and operated in the past.

These new parties have seen what has happened over the last 20 years in other countries—how change has taken place and how nations have transformed. Look at our neighboring countries. Even closer, look at India—look at states like Bihar and Uttar Pradesh. The transformation is visible.

People are also observing what is happening globally. They ask, ‘What happened in the Soviet Union, in Eastern Europe, and in countries like Cambodia and Vietnam—countries that went through far more difficult phases than Nepal in the past?’ Where are they today? At what pace are they growing?’

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All of these developments are visible to people now because of social media.

So people understand that they have a giant task ahead. They have also witnessed the successful transformation of other regions. It’s not about re-engineering the entire process—it’s about learning from success stories across the world, with sincere intent and with the country’s interest at the center, rather than personal interest.

I read your book, where you discuss your shift from trading to manufacturing as a philosophical one. What are you trying to convey by calling this transition a philosophical shift?

Yes, because philosophy defines how you approach your journey. Behind every profession and the way you carry forward your work, there is a philosophy—an objective, a sense of direction, and a destiny you set for yourself.

I come from a background rooted in trading, from my grandfather’s and father’s time. I have nothing against trading as a business model. Trading connects every industry in some way, and there’s absolutely nothing wrong with it.

But at some point, we decided to move into manufacturing and industry because we wanted to create a deeper, long-term impact on the economy. We wanted to generate jobs, create continuity in economic activity, and build something that could grow—not just within Nepal, but beyond.

In trading, you often operate day to day, repeating the same cycle without a sustained long-term plan. That is the fundamental difference.

That said, we did not abandon trading. Even today, many parts of our group are involved in trading activities. It’s not that we moved away from it entirely—we simply expanded our horizon and shifted more towards manufacturing. That shift began in the 1980s.

If you look at today, our strategic focus has evolved further. The services sector now increasingly drives our growth. We are major players in hospitality, banking, and other related service industries, including telecommunications.

Was manufacturing in Nepal an emotional decision, a strategic decision, or a necessity?

No, it was primarily a strategic decision. We felt there were strong opportunities not just within Nepal, but also in neighboring countries and regions.

For instance, Wai Wai was a very strategic move. We believed it was a great product with the potential to perform extremely well—not only in Nepal, but also in India and globally.

We also focused on backward integration—producing wheat flour, biscuits, packaging, and other associated elements within the ecosystem.

So overall, it was a strategic decision with a clear long-term perspective.

So since you touched upon Wai Wai, let me bring that perspective in. What did you understand about the South Asian consumer that global food companies initially missed in the case of Wai Wai noodles?

Wai Wai is a very unique proposition—you won’t find many direct comparisons.

Noodles are manufactured by many companies across the world, including in India. But the kind of noodle we make is different. It can be eaten straight from the packet—by sprinkling the seasoning and munching it like a snack. That’s something very unique.

At the same time, you can also cook it—use the noodle cake to prepare a soup or a full meal, just like any other noodle.

So from a convenience perspective and a taste perspective, it offers a unique value proposition. It is also highly affordable. In today’s world, getting a full meal for Rs 20 is difficult—especially if you’re looking for something hygienic.

I think a cup of tea will cost you more than 20 rupees, isn’t it? With 20 rupees, it can be a reasonably filling meal, snack, breakfast, or evening tiffin, whatever you may call it. Many children, millions of them, take a packet of Y-Y to school as their tiffin.

And you are someone, Mr Chaudhary, who seems to emphasize systems over luck—that’s my interpretation. What was one system that truly scaled Wai Wai internationally?

Wai Wai became a global brand because of three strategies—not just one.

The first strategy was our market entry approach. When we couldn’t penetrate larger urban markets, starting with Delhi, we shifted focus to the Northeast and used it as our launch pad. We did exceptionally well there—became market leaders—which gave us the financial strength and scale to expand into other parts of India and eventually into global markets. It was a backdoor entry strategy rather than directly challenging established leaders from the front.

The second strategy was recognizing that we didn’t have the deep pockets of competitors like ITC or Nestle. So instead of heavy spending, we focused on building organic demand. Our growth came from loyal consumers—students and young people who experienced Wai Wai during their school and college years. As they moved across regions and countries, they carried that preference with them.

We effectively followed the Nepalese diaspora, the Northeastern diaspora, and the broader Indian diaspora across the world. Today, Wai Wai is present in more than 100 countries. By serving these communities, the product also started gaining acceptance among other consumers.

So rather than relying on massive advertising spends, our primary growth came from people who loved Wai Wai and took it with them wherever they went.

How do you compete with countries like India? And what kind of business relationship do you have with India? Are you planning to increase investments here?

We believe that among South Asian countries—apart from India itself—we are one of the most prominent players in India.

We have seven manufacturing clusters across seven states, ranging from Assam to Andhra Pradesh. We also hold a majority stake in the Ferns Sirija by Marriott hotel chain, which operates around 170 hotels across India. In addition, we have a food park in Ajmer, Rajasthan, and are involved in real estate in the Northeast as well as in Rajasthan.

I think we’ve done very well in India. The country itself has been performing strongly, and state governments have been very welcoming towards investments.

Recently, the Indian government allowed Nepalese companies to invest in India through the FDI route without prior approval. That is a very positive step and reflects improving India–Nepal relations, especially with the new government in place.

We feel comfortable operating in India—we understand the country, share cultural and social ties, and benefit from geographical proximity. All three of my children went to school in India, the Doon School. So for us, it’s a second home. Doing business here is a straightforward decision. Rather, it’s easier to do business here than anywhere else.

Where do you see your group five years down the line?

I think our investments and interest in India will grow significantly. You will see that Wai Wai, which owns the global Wai Wai companies and holds around three per cent of the global market share, is likely to go for an IPO. That is something you can expect. You will also see strong growth in our hospitality business.

And what would be the timeline for these IPOs?Maybe two years from now.

Could you please share where you are planning to list?

There couldn’t be a better place than India today—anywhere in the world.

So you’re eyeing the Indian stock markets?

Yes. And there could also be simultaneous listings in other countries, but India will remain the core market. You will also see our hotel portfolio expand significantly. We have plans to build 500 hotels under the Ferns by Marriott brand, and we are opening one hotel almost every week. So, our interest in India is substantial. One of my three sons is based here—he leads not just our India business and expansion, but also our South Asia strategy. It is a very important part of our group’s future roadmap.