State Highway 1 north and south of Kaikōura is unlikely to reopen until the middle of next week.
Cyclone Gita bought down hundreds of thousands of cubic metres of rock and soil, blocking the road in 60 places.
And the closures are affecting local businesses, which were hit hard by the 2016 earthquake.
Daniel Jenkins, who runs Kaikōura Cheese, a small family business, said the summer had been busy but now the shop was empty of customers.
"We just don't have anyone turning up in town, and this time of year is when we're making an income - we don't make a lot through winter so it makes it really difficult.
"It puts more pressure on to the following seasons to dig ourselves out of the hole that we've been trying to dig ourselves out of since the earthquake," Mr Jenkins said.
Kaikōura mayor Winston Gray said prior to slips, up to 5000 cars were travelling on the highway every day.
The closures were having a negative impact on the town's economy, he said.
"The numbers on that road are strong, so that's the impact we're getting. They're just not buying the fuel here, they're not stopping off. So it will take a lot of money out of the economy.
"Not being the state highway anymore, until next week, the flow of traffic is just not coming through. So that effects things there is no doubt about it," Mr Gray said.
The massive quake in November 2016 damaged the state highway. It only reopened in December and now the only way in or out of Kaikōura is via the difficult and longer inland route.
The NZ Transport Agency says that State Highway 1 both north and south of Kaikōura is unlikely to reopen to traffic until at least mid-next week, a week after Cyclone Gita. https://t.co/yptSUkx8ON ^LT pic.twitter.com/wEO0edv4Y1
— NZTA Canterbury/WC (@NZTACWC) February 22, 2018
NZTA spokesperson Tim Crow said the recently repaired highway held up pretty well given Cyclone Gita bought 28 percent of the town's annual rainfall in a single day.
"This type of event is an extreme event. You know, the last time we saw this intensity of rain fall over a 12 hour period was 1975 and that bought down 83 slips in this area as well so it is a rare event.
"But the good news is, the infastructure we're putting in is making it more and more resilient," he said.
The train line was also covered by the slips.
Kiwi Rail group manager Todd Moyle said they'd had to cancel four trains a day.
"It has a pretty significant impact. We were obviously dissapointed after all the effort that went in to getting it opened at the end of last year to be in this position now.
"But, the teams are doing everything they possibly can. With such an extreme event even prior to the earthquake I think we would've seen quite an extensive amount of damage," he said.
Both NZTA and Kiwi Rail said they would have a better idea on Monday of when the road and rail line would reopen.
Back at Kaikōura Cheese, Daniel Jenkins was hoping that it would happen in time for the end of summer rush of tourists.