Himachal Pradesh Revenue and Horticulture Minister Jagat Singh Negi inaugurated the trade at Shipki-La and flagged off traders from Namgya, Dubling and Leo villages. The traders were felicitated with traditional Khata scarves before their departure.
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In the maiden batch, traders carried jaggery, rice, tea, sugar, carpets, local grains, biscuits and other notified goods. The district administration said all security clearance and background verification formalities had been completed in advance, and the traders have been directed to return within 72 hours in accordance with the prescribed guidelines.
On the occasion, Negi also inaugurated a modern Trade Mart built at a cost of Rs 1.70 crore.
He noted that earlier traders from Kinnaur had to travel to distant locations in Tibet for business, but the newly developed trade centre at Shipki village would now facilitate exchange of goods between traders of both countries at a single designated location, ANI reported.
The minister added that the border trade had remained suspended since 2019 due to the COVID-19 pandemic and its resumption would provide a major boost to local trade, employment, transport and the economy of the border areas. He also thanked the Central Government for facilitating the revival of the historic trade route.Under the notified list issued by the Directorate General of Foreign Trade (DGFT), the Ministry of Commerce and the Customs Department, export of 36 categories of goods from India to China and import of 20 categories of goods from China to India has been permitted, Negi said.
He added that although the notified list includes live animals such as horses, sheep and goats, their trade will not take place this season as Kinnaur does not have a quarantine centre. A proposal for establishing a quarantine facility under the Vibrant Villages Programme has already been submitted.
The resumption of the historic trade route has generated enthusiasm among residents of the border villages, who described it as a major step towards strengthening the region’s economy.
The event also featured cultural performances by local women from Namgya village.
Deputy Commissioner Kinnaur Dr Amit Kumar Sharma, Superintendent of Police Sushil Kumar Sharma, ADM Pooh Ravinder Thakur, office-bearers of the Trade Union, senior administrative officials and a large number of local residents attended the inauguration.
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China approves 20 traders, cites lack of accommodation facilities
The Chinese administration approved an initial batch of 20 traders from the Indian side, citing inadequate accommodation facilities at the trading mart. In the first phase, the traders will cross the border without carrying any goods to assess the arrangements and inspect the stock they had left behind in 2019.
Ashish Joshi, Sub-Divisional Magistrate (SDM) and Trade Officer of Dharchula, said the Border Trade Organisation was asked to submit the names of 20 traders for the first phase.
The India-China Border Trade Association then decided to prioritise traders whose goods remained in rented warehouses in Taklakot after border trade was abruptly suspended in 2019 due to the COVID-19 pandemic.
Association President Jeevan Singh Rongkali said, “Before taking new goods from India, we want to inspect the old, unsold stock stored in the Taklakot warehouses, goods that were left behind when the trading season ended in 2019.”
India China border trade
Border trade through the Lipulekh Pass resumed in 1992 after remaining suspended following the 1962 India-China war. The trade is primarily carried out by tribal traders from the Vyans, Darma and Chaudas valleys of Uttarakhand’s Pithoragarh district, whose centuries-old trade ties with western Tibet were disrupted after the war.
The trade, suspended again in 2019 due to the pandemic, is considered crucial for the border region’s economy, and its resumption is expected to provide significant relief to local traders and tribal communities.
Although border trade was initially scheduled to restart on June 1 this year, the Tibetan administration sought additional time, citing inadequate basic infrastructure, including accommodation and shops, at the Purang trading mart. With the required arrangements now in place, the historic trade resumed from August 1.