India to carry out mock trading at Nathu La
India will carry out mock trading on Tuesday at Nathu La along the historic Silk Route two days before the Himalayan outpost reopens for trade with China after 44 years, officials said.
By Agencies |
GUWAHATI: India will carry out mock trading on Tuesday at Nathu La along the historic Silk Route two days before the Himalayan outpost reopens for trade with China after 44 years, officials said.
"The idea of this mock exercise is to ensure that everything goes smoothly according to plans," Karma Gyatso, Sikkim’s Industries and Commerce secretary, told media by telephone.
India and China last month fixed July 6 as the date to reopen the Nathu La Pass, at an altitude of 15,000 feet (4,545 metre), for direct trade between the Asian giants. The pass, perched on the border between India's tiny Sikkim state and China's vast Tibet region, some 52 kilometres (33 miles) east of the Sikkim capital Gangtok, has been closed since 1962 when the two fought a brief but bitter border war.
Gyatso said arrangements at the main trade mart at Sherathang, a small village some five kilometres (3.1 miles) below the Nathu La Pass, were complete. "The trade mart, spread over an area of eight acres (3.24 hectares) is ready, with sheds for handling customs and immigrations, a bank, a telecommunication centre and other facilities," Sikkims Industries Minister R P Subba said.
Business would be duty-free with India able to export 29 items ranging from textiles and blankets, agricultural implements, liquor, cigarettes, tea, barley, rice, vegetable oil, and local herbs. Chinese traders would be able to send across 15 items from horses to goats and sheep, yak tail, yak hair, goat skin, wool, and raw silk.
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As worked out between the two countries, trade would begin every year on June 1 and continue till September 30 after which the area becomes impassable due to heavy snow, high velocity winds and freezing weather. A study conducted by the Sikkim government said trade via the pass could reach $12 billion by 2015. Nathu La was a major trading point between the two countries before the 1962 war. It was also one of the main arteries of the famed historical Silk Route, linking China via Central Asia to Europe.
The move to open up Nathu La follows India and China, the world's most populous countries, pushing for greater trade to tap a total consumer market of 2.3 billion people.
Bilateral trade between India and China is expected to hit $20 billion by 2007. Last May, the neighbours agreed that previously disputed Sikkim belonged to India and said they would work to resolve other border issues.
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India says China occupies 38,000 square kilometres (14,670 square miles) of Indian territory. Beijing claims the remote Indian state of Arunachal Pradesh.Download
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