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Silk Route Back In Business: After 6 Years, India Reopens Historic Shipki La Trade Corridor With China

Cross-border trade between India and China through the historic Shipki La pass in Himachal Pradesh’s Kinnaur district resumed on Saturday. The revival of this traditional Silk Route commercial corridor ends nearly six years of suspension that began in 2020 following the Covid-19 pandemic and heightened border sensitivities.

Located at an altitude of 3,930 metres along the Sutlej valley, the mountain pass serves as a vital economic lifeline connecting Kinnaur with the Tibet Autonomous Region of China. The seasonal trade window, which remains open through November 30, is expected to give a substantial boost to local employment, transport, and border tourism across the high-altitude region.

Unlike other border trading points that use currency, trade through Shipki La operates under a unique, centuries-old barter framework. Goods are transported by road up to the frontier, after which consignments are carried on pack animals to a designated exchange point roughly two kilometres inside Tibetan territory.

To facilitate official customs clearances and trader registration, the newly constructed Chhuppan Trade Mart was formally inaugurated at the site. Under strict operational guidelines supervised by the Indo-Tibetan Border Police (ITBP) and local administration, verified traders are granted permits requiring them to complete transactions and return to the Indian side within a 72-hour window.

Approved Commodities and Operational Guidelines

The trade framework permits the exchange of specific, pre-notified commodities between both sides:

  • Indian Exports: Approved categories include dry fruits, spices, tea, coffee, grains, handloom garments, copper utensils, processed foods, and local medicinal herbs.
  • Tibetan Imports: Permitted items comprise pashmina, raw wool, yak hair, sheepskins, carpets, china clay, and traditional herbal products.

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