Lipulekh pass is connected to Chang Lobochahela, near the old trading town of Purang (Taklakot), in Tibet.

[5] The Nepalese claims to the southern side of the pass, called Kalapani territory, are based on 1816 Sagauli Treaty between British East India Company and Nepal.

India claims that the river begins at the Kalapani village as this is where all its tributaries merge.

[9] After the Indian prime minister's visit to China in 2015, India and China agreed to open a trading post in Lipulekh, raising objections from Nepal.

[3][4] The Nepalese parliament stated that 'it violates Nepal's sovereign rights over the disputed territory'.