Senior Sergeant Karl Konlechner said a woman walking her dog alerted police to a body in the surf about 500m down from Mount Maunganui Surf Club about 6.30am yesterday.
"We also received further calls from members of the public," he said.
Mr Konlechner said, on arrival, officers closed off the beach near the scene and taped off a beach access walkway to protect the scene. They guarded the body until the undertaker arrived.
After the body was removed, the beach was reopened about 8.15am.
Tauranga Police Senior Sergeant Glenn Saunders said police believed Mr Khadka entered the water in the early hours yesterday and was already deceased when the discovery was made.
The latest death comes two days after a 17-year-old teenager was swept out to sea after he was caught in a rip off Castlecliff Beach near Whanganui on Christmas Day.
Meanwhile, shocked Tauranga residents say they were alerted to the suspected drowning after seeing at least four patrol cars parked on Marine Parade adjacent to Shark Alley.
One Marine Parade resident said when he went over to the beach to investigate he saw a group of police officers standing near the body which was wrapped in a plastic sheet.
Another resident said they saw a vehicle parked about 50m from the scene being towed away under the guidance of police, but this was an unconfirmed report.
Maungatapu man Ned Nicely, who gives free surfing lessons to teenagers, said he arrived at the beach about 7.30am and saw the six police down on the beach.
"I got a real shock. Someone told me a body had washed up on the beach and then I saw an undertaker arrive and take a stretcher down there. The police officers also helped to carry the deceased's body on a stretcher from the beach," he said.
"We still don't know what really happened here but it's been a sad start to the festive season, as we had lots of water tragedies up and down around the country."
Other drownings this holiday season:
* Since Christmas Day there have been eight deaths in the water.
December 28
* A 50-year-old was free-diving with family when he was caught in a rip just after 2pm at the private Puatai Beach on the east coast.
* The body of a 22-year-old Pawan Kumar Khadka was recovered from the surf at Mt Maunganui.
Boxing Day
* 12-year-old Jack Martin was killed when he was riding an inflatable sea biscuit and was hit by a passing vessel on Blue Lake in Central Otago.
* An 82-year-old British woman drowned at Opito Bay, in the Bay of Islands, when she returned home from a walk, suffered a medical event and fell into a pond.
Christmas Day
* Three-year-old Jimmy Atilua Fatipule Laulu died in a lagoon at Ocean Beach in Hawke's Bay.
* A foreign pair drowned at a beach near Raglan.
* Seventeen-year-old Whanganui boy Jordon James Marshall drowned after being caught in a rip.
