One person was killed and ten others were injured on Saturday afternoon at Ganderbal, 22 km from Srinagar on the strategic Srinagar-Leh national highway.
The pilgrims going to the Amarnath cave Shrine use the Srinagar-Leh national highway to reach the Baltal base camp of the pilgrimage.
Official sources said terrorists hurled a hand grenade towards Central Reserve Police Force (CRPF) picket at Beehama Chowk in Ganderbal.
The grenade missed the intended target and exploded on the roadside causing injuries to 11 people.
The injured, all locals, were admitted to hospital where the condition of two of them is stated to be critical. One of the injured Ghulam Ahmad Khan later succumbed to injuries.
Sources said security forces in the nearby picket also fired several rounds in which one person was injured.