March 24, 2026
Trade & Market

Indo-Tibet Trade Via Shipki La Set To Resume From June

The long-suspended Indo-Tibet trade route through the Shipki La pass in Kinnaur is set to reopen from June this year, marking a significant revival of traditional cross-border commerce halted since 2020 due to the Covid-19 pandemic.

Himachal Pradesh’s Tribal Development and Revenue Minister Jagat Singh Negi said the easing of earlier restrictions and improving conditions have paved the way for the resumption. The move is expected to boost trade activity and generate employment opportunities in Kinnaur and adjoining regions.

He noted that traditional trade had remained in limbo for several years, despite consistent demands from local traders’ bodies for its revival. With favourable weather conditions anticipated, authorities are targeting June for the restart of trading operations.

Negi also urged the Union government to expedite infrastructure development at the Shipki La route, highlighting that constructing a short stretch of 3–4 km could significantly improve connectivity for the Kailash Mansarovar Yatra. Enhancing this route would not only ease pilgrimage travel but also open avenues for adventure tourism in the region.

The minister emphasised the cultural and religious importance of Kailash Mansarovar for followers of Hinduism, Buddhism and Jainism, adding that improved access could drive higher tourist inflows.

Indo-Tibetan trade has deep historical roots dating back centuries. A formal agreement signed in 1697 between Tibetan authorities and the Bushahar kingdom ensured safe passage for traders, fostering a robust barter-based trading system along the historic Hindustan-Tibet route.

Traditionally, Tibetan traders supplied wool, salt, raw silk and livestock products, while Indian traders exported goods such as textiles, tea, rice and metalware. The exchange was often governed by gamgya, a traditional system based on mutual trust rather than formal contracts.

Trade was disrupted following the Sino-Indian War and remained suspended for decades before limited, regulated exchanges resumed in 1994. However, the route was once again closed in 2020 due to the pandemic.

The planned reopening signals a renewed push to restore historic trade linkages while supporting regional economic development.

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