Kathmandu [Nepal], August 2 – India and China have resumed border trade through the Lipulekh pass a territory claimed by Nepal despite Kathmandu’s longstanding objections over the disputed area.
Trade has restarted through the Lipulekh pass in India’s Uttarakhand state as well as the Nathu La Pass in Sikkim, marking the revival of cross-border commerce between the two Asian neighbours. The reopening also restores the historic silk route through Nathu La after a prolonged suspension.
Under the initial phase of the Lipulekh trade chinese authorities have permitted 20 Indian traders to cross into Purang (Taklakot) in Tibet. The traders will initially travel without goods to inspect merchandise left in warehouses since trade was disrupted in 2020.
According to Indian officials, the Border Trade Organisation is overseeing operational arrangements while the India-China Border Trade Association has prioritised traders whose goods remained stranded in Taklakot after the COVID-19 shutdown.
Border trade through Lipulekh was reopened in 1992 after remaining closed since the 1962 India-China war. It has traditionally been carried out by members of the Bhotiya community from Uttarakhand, who maintained centuries-old commercial ties with western Tibet before the conflict halted cross-border exchanges.
Meanwhile, border trade through the Nathu La pass has resumed after a six-year suspension caused by the COVID-19 pandemic. The route first reopened in 2006 after four decades of closure following the 1962 war will operate from May to November each year with trade taking place from Monday to Thursday under an agreed list of 36 approved commodities.
Nepal has consistently maintained that Lipulekh lies within its sovereign territory and has repeatedly objected to bilateral activities by India and China in the disputed area.
