India suspends cross-LOC trade with PoK | Fusion - WeRIndia

India suspends cross-LOC trade with PoK

India suspends cross-LOC trade with PoK

The Indian government decided to suspend all cross-LoC trade with Pakistan from yesterday.

An official statement has been released on this stating that the Ministry of Home Affairs issued an order to suspend the LoC trade between Jammu and Kashmir and Pak Occupied Kashmir (PoK).

This is due to several reports stating that the routes are being misused by the Pakistan based elements for illegal weapons, narcotics, and counterfeit currency.

The LoC trade is intended to ease the exchange of goods of common use between local populations across the LoC in the state.


There are two trade facilitation centres at Salamabad, Uri, District Baramulla and Chakkan-da-Bagh, District Poonch to enable the trade.

The trade is carried out on a zero-duty basis. It is based on the barter system. It takes place four days a week.

But, several reports have been received by the government on the misuse of this trade on a large scale.

The intention of trade has been changed. The products of other regions in the country and from foreign countries are also finding their way through this route.

It has also been misused by anti-national elements for weapons, drugs and Hawala money.

Even the investigation of NIA says that there is a significant number of trading issues in LoC done by people that are associated with banned terrorist groups. The investigation also revealed that some individuals crossed to Pakistan to open trading firms by joining militant organisations.

These are under the control of militant groups and engaged in LoC trade.

As the trade has zero duty, LoC trade is probable to be misused to a much larger extent to evade a consequent high duty on goods.

Considering all these things, the Indian government decided to suspend the LoC trade in Salamabad and Chakkan-da-Bagh immediately.

It is working on implementing a stringent regulatory and enforcement mechanism by consulting with various agencies. Only after that, the reopening of LoC trade will be reconsidered.

Image Reference: Firstpost

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