India and China have reopened three Himalayan border trade routes after five years, giving a boost to local communities, Tibet’s economy, and cross-border ties.The decision was announced during Chinese Foreign Minister Wang Yi’s visit to New Delhi earlier this week.

The three trade points, Shipki La in Himachal Pradesh, Lipulekh in Uttarakhand, and Nathu La in Sikkim, were shut in 2020 due to COVID-19. Later, tensions at the border delayed their reopening. Traders on both sides had been demanding the resumption of trade for years.

These passes connect Indian border regions with Tibet, linking to towns like Shigatse, Lhasa, and Nyingchi. Trade here usually runs from May to November. Unlike the overall India–China trade (which heavily favours China), trade through these passes has mostly benefited India, as exports to Tibet are higher than imports.

Nathu La: The busiest route

Nathu La in Sikkim is the most important among the three passes. It has proper trade and immigration facilities, supported by nearby markets in both India and Tibet. Before the 1962 war, it was Tibet’s biggest trading route, operating almost all year round.

Trade at Nathu La grew quickly after its reopening in 2006, reaching a peak of ₹82.6 crore in 2016. However, the Doklam standoff in 2017 reduced it sharply. By 2018, it recovered to ₹48 crore. While the Sikkim government reported smaller figures, China claimed trade was much higher. Experts believe the route still has huge untapped potential.

Shipki La: Limited activity

Shipki La, connected by National Highway 5 to Shimla, has customs posts on both sides butvery little trade. Government data shows trade worth just ₹59 lakh in 2017 and ₹3.7 lakh in 2018. Authorities have proposed a trade mart and quarantine facilities to encourage business in the future.

Lipulekh: Least developed

Lipulekh, linked to Pithoragarh in Uttarakhand, is the least developed of the three. Satellite images from 2022 showed very little infrastructure, and the road leading to the pass remains in poor condition. Official trade figures are not available for this route.