India suspends LoC trade with Pakistan
New Delhi, Apr 18: India has suspended trade along the Line of Control with effect from April 19. The action was taken after it was reported that Pakistan based elements were using the trade route to smuggle weapons, fake currency and narcotics.
The decision has been taken after reports of "cross Line of Control trade routes being misused by Pakistan based elements for funneling illegal weapons, narcotics and fake currency etc", a statement by the Home Ministry read.
"During ongoing probe of certain cases by National Investigation Agency (NIA), it has been brought out that significant number of trading concerns engaged in LoC trade are operated by persons closely associated with banned terror organisations involved in fueling terrorism/separatism," the statement also read.
It was found that cross-border traders had been tapped by terror groups to help raise funds for terror activities in Jammu and Kashmir.
The NIA had found that a food item would be imported from Pakistan at a very low price and then sold at double the amount in India. For instance, Californian almonds would be imported by the trader at Rs 350 a kilogram and then sold at Rs 700 in the Indian market. The profit investigators say would be used to fund terror.
There is a select network of traders that the terror groups have tapped into to further their agenda. These traders work under terror groups such as the Hizbul Mujahideen and the Lashkar-e-Tayiba, an NIA official informed.
The NIA has also found a list of 21 items that are being imported by traders from Pakistan at a very low cost. Out of this the highest profit margin is for the California almond which sells at double the cost in India, the NIA official also informed.