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Abstract
The present state of Nagaland was initially created as the District of Naga Hills in 1866 with its Head Quarter at Samaguting which is now called Chumukedima. The District Head Quarter was subsequently shifted to Wokha in 1876 and two years later, it was shifted to Kohima. British penetration of the region began from the western side along the Sibsagar frontier and gradually extended towards the East which culminated to the incorporation of Tuensang Frontier Division of NEFA in December, 1957 and formed as the Naga Hills and Tuensang Areas (NHTA) and became the Sixteenth State of India on December 1st, 1963. Due to the very nature of the formation of the district trade during the 19th century was extremely small in scale. Evidently, the Naga tribes living in close geographical proximity with the neighbouring people of Assam were more active traders than the tribes inhabiting the interior parts of the district.1 The main articles of exchange in all the duars (passes) were cotton, cloth, ginger, pepper and betlenut for salt, rice, dhan, medicine, cattle, poultry, dry fish, steel implements and utensils, thread, oil, beads, kerosene and umbrella.2