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India, China resume Nathu La border trade after six-year COVID hiatus

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Historic Silk Route link through Sikkim reopens from August 1, reviving cross-border commerce and boosting the state’s border economy.

GUWAHATI, July 31: India and China will resume border trade through the historic Nathu La Pass in Sikkim on August 1, restoring a commercial corridor that has remained closed for six years since the outbreak of the COVID-19 pandemic.

The reopening marks the revival of one of the oldest branches of the ancient Silk Route and is expected to provide a much-needed economic boost to traders and border communities in Sikkim while signalling a gradual thaw in bilateral engagement despite unresolved boundary issues.

The seasonal trade, which normally operates between May and November, will continue this year until November under the existing Standard Operating Procedures (SoPs). Trading will take place from Monday to Thursday, with both countries retaining the existing list of 36 approved commodities.

State Commerce and Industries Secretary Karma D. Youtso said the Sikkim government began preparations immediately after receiving clearance from the Ministry of External Affairs.

Infrastructure at the Nathula Integrated Check Post, which had deteriorated during the prolonged closure and harsh Himalayan winters, has been repaired and made operational.

Security has also been strengthened for the reopening. The Indo-Tibetan Border Police (ITBP) will deploy additional personnel at Nathula, including an all-women platoon for the first time to assist with border trade operations.

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The route was reopened in July 2006 after remaining shut for 44 years following the 1962 India-China war. The revival was widely viewed as a confidence-building measure aimed at strengthening economic ties and improving livelihoods in the border regions. However, both trade and the Kailash Mansarovar Yatra through Nathu La were suspended in 2020 following the COVID-19 outbreak.

The reopening comes just weeks after the resumption of the Kailash Mansarovar Yatra through Nathu La, further raising hopes that cross-border exchanges between the two countries are gradually returning to normal.

Under the existing protocol, India can export 36 approved items, including handicrafts, handloom products, blankets, agricultural tools, processed foods, dry vegetables, spices, ready-made garments, utensils and traditional religious articles. Imports from the Tibetan side include ready-made garments, shoes, yak products, butter, borax, goats, quilts and other approved goods.

Although up to 400 traders can be issued permits during a trading season, officials said only a limited number of passes have been cleared so far, with more expected after verification by district authorities and the State Intelligence Branch.

The reopening is expected to benefit Sikkim’s border economy, where many traders have been awaiting the revival of the seasonal market. Trade through Nathu La traditionally supported hundreds of traders and transporters on both sides of the border.

The development also coincides with major infrastructure investments in Sikkim aimed at improving connectivity to the frontier. The Sivok-Rangpo railway project is nearing completion, with plans to eventually extend the rail network to Gangtok and Nathu La. Road connectivity is also being upgraded through the Rongli-Menla highway and the widening of National Highway 717A, providing faster access to the strategically important border region.

While the broader India-China boundary dispute remains unresolved, the restoration of trade through the historic mountain pass is being viewed as an important confidence-building measure and a step towards restoring long-standing commercial and cultural links along the ancient Silk Route.

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