Thousands of people, including tourists and Hindu pilgrims, are leaving Indian-administered Kashmir after local officials issued a security alert.
Indian authorities warned of a "terror threat" against Hindu pilgrims heading to the Amarnath shrine.
Militants backed by Pakistan were planning an attack on the annual pilgrimage, officials have said.
India accuses Pakistan of backing militant groups based in Kashmir, something denied by Pakistan.
The 45-day pilgrimage began on 1 July and about 300,000 pilgrims have visited the cave shrine, located high in the Himalayan mountains, according to AP news agency.
Kashmir's government has advised them to leave the area "immediately", causing panic as visitors scramble to organise transport.