Cross-LoC trade

News: Ministry of Home Affairs announced the suspension of trade at the two designated points at Salamabad and Chakan-da-Bagh, citing concerns about “illegal weapons, narcotics and fake currency” being transported into India.


  • It is an intra-Jammu and Kashmir trade, in the form of barter of goods on a reciprocal basis. Started on October 21, 2008, the trade has been conducted through a standard operating procedure (SOP) mutually agreed by New Delhi and Islamabad.
  • The SOP enlists the 21 categories of items to be traded on zero tariffs.
  • LoC trade takes place four days a week, wherein traders are allowed to exchange 70 trucks per day.
  • Trade is done on 21 agreed items by the government via the Srinagar-Muzaffarabad and Poonch-Rawalakot routes.
  • The trade-in (import) and trade-out (export) goods have to be balanced to zero for each trading firm within a period of three months.
  • It is conducted via Chakan-da-bagh-Rawalakot route in Jammu and the Salamabad-Chokoti route in Kashmir.

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