Indo-Tibet trade set to fall

The annual Indo-Tibet barter trade officially began today in the Taklakot area of Tibet with the authorities expecting the trade volume to touch Rs 5 crore during the four-month long affair.

Trade worth Rs 5.5 crore was conducted in 2003, which was Rs 2 crore less than 2002 mainly because of the SARS scare.

"Last year, there was a delay of one month because of SARS and the business was affected," Pithoragarh District Magistrate Navin Chander Sharma said.

Though the trade had officially been declared open, it would take some time for businessmen to visit Tibet, said an official.

The Indian authorities are likely to issue 450 passes to businessmen this year.

Sharma said it was not yet clear how many businessmen would actually be travelling to the Taklakot area. "We have kept a provision of around 450 passes for traders for visiting Tibet," Sharma said. The business was likely to gain momentum in the middle of June, he added. The Indo-Tibet barter trade started in 1992, following an improvement in the Sino-Indian ties.

The barter trade mostly includes jaggery, tobacco, buckwheat and other consumer items with woollen cloths, Chinese silk, yak butter and ponies. "There is no Customs duty on selected 15 trade items. But on the rest, traders need to pay Customs," Sharma said.

Meanwhile, the State Bank of India has opened a makeshift branch at Gunji, the last town near the Indo-Tibet border, to provide loan and deposit facilities to traders. The Chinese authorities have also made arrangements for setting up a bank facility in the area.

Taklakot is considered to be the nerve-centre for small traders from India, Nepal and China. Indian traders mostly trek to Taklakot, situated at a height of 3500 metres above the sea level.