The demand comes in the wake of reports that the National Investigation Agency (NIA), which is probing terror funding in Kashmir, may recommend closure of trade activities along LoC routes.
"The cross-border trade needs to be stopped as it is one of the sources of terrorism funding," BJP state spokesperson Virender Gupta told reporters here.
"We fully support the NIA. We demand that the cross-LoC trade should be stopped. NIA and other agencies have said earlier as well that hawala money and narcotics were being smuggled via these routes to fund terrorism in Kashmir," he said.
However, Chief Minister Mehbooba Mufti has strongly pitched for the continuance of trade across the Line of Control (LoC).
Addressing a rally on the 18th foundation day of the Peoples Democratic Party (PDP) in Srinagar last week, she also batted for nominating members to the legislative assembly from the other side of LoC so that joint meetings could be held once in a year.