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Gangtok, July 4 The historic reopening of the famed Silk Road for border trade is yet to formally kick off, but there is already talk of another milestone in India-China relations - a direct bus service linking the two countries.

Formal trading between India and China is to begin Thursday after 44 years at the 15,000-foot Nathu La Pass on the border between India's Sikkim state and China's Tibet region.

Opening the Nathu La Pass, 52 km from the Sikkim capital Gangtok, would be the first direct trade link since a 1962 border war.

'After border trade begins, the next step on our agenda is to see a bus service from Gangtok to Lhasa in China,' Sikkim Chief Minister Pawan Kumar Chamling told IANS over the phone from New Delhi.


The distance from Gangtok to the Tibetan capital Lhasa is about 480 km, about a 10-hour drive.


'A bus service to Lhasa on the lines of similar services to Lahore and Dhaka from India is going to help us attract tourists and get more business in the days ahead,' the chief minister said.


The resumption of border trade at Nathu La is expected to bring in employment opportunities to at least 5,000 locals and indirect benefits to hundreds of others in the area.


'We expect business to grow and would like the governments of the two countries to increase the list of commodities for trade,' Chamling said.


Business would be duty-free with India able to export 29 items ranging from textiles and blankets, agricultural implements, liquor, cigarettes, tea, barley, rice, vegetable oil, and local herbs. Chinese traders would be able to trade in 15 items -- horses to goats and sheep, yak tail, yak hair, goat skin, wool, and raw silk.


A study conducted by the Sikkim government says bilateral trade was expected to reach $12 billion by 2015.


The landlocked province of Tibet now depends on heavily on food items and other essentials from Nepal - the distance from Lhasa to Nepal's capital Kathmandu is about 2,000 km.


'The reopening of Nathu La would give Tibet and western China access to the Bay of Bengal ports, roughly about 1,200 to 1,300 km,' a Sikkim industries department official said.