The Centre has ordered the indefinite suspension of cross-LoC trade via two routes in Jammu and Kashmir as “these were being misused by Pakistan-based elements.” The home ministry said the via Salamabad and Chakan-da-Bagh routes were shut down as they were being used to sneak in weapons, narcotics, and currency. The order that will be in effect from April 19, 2019, read, “The Government of India has received reports that cross-LoC trade routes in Jammu and Kashmir are being misused by Pakistan-based elements. The misuse involves illegal inflows of weapons, narcotics and currency.” The trade routes were started as part of confidence-building measures (CBMs) between India and Pakistan in October 2008.
The order said that the “LoC trade mechanism” stood closed pending the putting in place of “a stricter regulatory regime. This is to ensure that only bonafide trade takes place... through this mechanism.” The Srinagar-Muzaffaravad route in the Valley and Poonch-Rawalakote route in Jammu division have over 600 registered traders plying their wares between J&K and POK. Twenty-one items are the approved export and import list for both routes. An MHA spokesperson said the routes were meant to facilitate exchange of goods of common use between local populations across LoC. However, he said, “It has been revealed that the trade has changed its character to mostly third-party trade and products from other regions, including foreign countries, are finding their way through this route. Unscrupulous and anti-national elements are using the route as a conduit for hawala money, drugs, and weapons under the garb of trade.”
The NIA has realised a significant number of the trading concerns engaged in LoC trade were allegedly run by people associated with terror outfits. Probes further revealed that individuals who crossed over to Pakistan and joined militant outfits had opened trading firms in Pakistan that were then being run under the control of the militant outfits.


