India-China border trade through Nathula resumes after six-year suspension

Border trade between India and China through the Nathula Pass in Sikkim resumed after remaining suspended for six years, marking the restoration of one of the oldest trade routes connecting the two countries.

The reopening was marked by a formal ceremony at the Nathula border gate, where officials from the Indian and Chinese sides exchanged trade passes. The passes were subsequently handed over to registered traders during a programme held at Sherathang, signalling the revival of cross-border commercial activity.

The resumption comes alongside the revival of the Kailash Mansarovar Yatra through Nathula, with the Sikkim government expressing hope that both developments will provide a significant boost to the state's economy and tourism sector.

Sikkim Tourism Minister T.T. Bhutia said the reopening of border trade and the pilgrimage route is expected to generate economic opportunities for tourism stakeholders and local businesses. He also said the state government would write to the concerned Union ministry seeking a revision of the existing export list to include more contemporary Sikkimese products.

While welcoming the reopening, traders said the current list of tradable goods no longer reflects present-day market realities. They pointed out that several items permitted under the existing agreement—including yak tail, sheep skin, goat skin, wool and raw silk—have become outdated and called for the inclusion of products with greater commercial demand.

Traders also urged the government to enhance the existing daily trade ceiling of ₹2 lakh per trader and broaden the basket of goods that can be exported from Sikkim.

Officials said the current Standard Operating Procedure (SOP) allows for the issuance of up to 400 trade passes during a trading season. However, because the decision to reopen the border came later than usual this year, the process of issuing passes also began behind schedule.

So far, around 38 registered traders have received their trade passes, with additional passes expected to be issued before trading operations gather pace.

"As of now, around 38 trade passes have already been issued. We expect more to be issued before August 1," an official said.

The official added that discussions are underway between the State Intelligence Bureau (SIB) and the district administration to extend the deadline for issuing trade passes. Under the existing SOP, passes are ordinarily issued only until the commencement of the trading season.

"Since we started the process late this year, we are considering extending the period for issuing passes. However, this will depend on approvals from the Ministry of External Affairs and the State Intelligence Bureau," the official said.

According to officials, border trade through Nathula will be conducted from Monday to Thursday each week. The border gate will open at 7:30 am IST (10 am Beijing time) and remain operational until evening. Under existing regulations, each registered trader can undertake trade worth up to ₹2 lakh per day.

Officials also confirmed that there has been no revision to the existing list of tradable goods or the operating procedures governing border commerce.

"There are no changes in the tradable items. The import and export lists remain exactly the same, and there have been no changes in the standard operating procedures either," an official said.

Under the current arrangement, India will continue exporting 36 approved items, including handicrafts, handloom products, agricultural implements, blankets, copper products, textiles, rice, barley, flowers, vegetables, gur, misri, stationery, tobacco, local herbs, spices, traditional religious items and readymade garments.

Imports from China will continue to include readymade garments, quilts, local herbs, sheep skin, goat skin, wool, raw silk, yak tail, borax, common salt and sugar.

The reopening of the Nathula trade route is expected to gradually restore commercial exchanges between border communities while paving the way for future discussions on modernising the decades-old trade framework to better reflect current economic needs.