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India, China Delay Reopening Famed Silk Road Until Next Year

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Guwahati, India (AFP) Sep 28, 2005
India and China have postponed the re-opening of the famed Silk Road for trade until next year as infrastructure is not ready, Indian officials said Wednesday.

The delay means an October 2 reopening ceremony, at the 15,000-feetmetre) Nathu La pass on the border between India's Sikkim state and China's Tibet region, has been shelved.

"We've been informed by the external affairs ministry that infrastructure required for trading on the Chinese side is not complete and we can't start business as scheduled," Sikkim government spokesman B.B. Gurung told AFP.

There was no immediate comment from Chinese authorities.

But "there's no need to be disheartened and we can start trading with full vigour next year," Gurung said by telephone from Sikkim's capital, Gangtok.

"Probably trading will now resume sometime in March or early April next year as snow will soon cover the area with the onset of winter," he said.

Saman Prasad Subba, Sikkim's director of industries, said the Indians had nearly finished "temporary infrastructure development".

The route's reopening will serve to create a direct trading link between the world's two most populous countries.

Nathu La was a major trading point before India and China fought a brief, bloody border war in 1962. It was also one of the main Silk Road arteries which traditionally linked China to Europe through Central Asia.

Initial trade is expected to be made up of much the same goods as during the former Silk Road days with China exporting silk, yak tails and raw wool. Indian exports are expected to include farm products, textiles, watches and shoes.

The prospect of border trade has generated huge interest in Sikkim, beset by high unemployment.

Both countries have pushed for greater trade to tap a consumer market of 2.3 billion people.

In May, the countries agreed that previously disputed Sikkim belonged to India and said they would work to resolve other border issues.

India says China occupies 38,000 square kilometres (14,670 square miles) of Indian territory. Beijing claims the remote Indian state of Arunachal Pradesh.

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