Jquery Touch Punch is great but what it also does is disable all the controls on the draggable div so to prevent this you have to alter the lines... (at the time of writing - line 75)
change
if (touchHandled || !self._mouseCapture(event.originalEvent.changedTouches[0])){
to read
if (touchHandled || !self._mouseCapture(event.originalEvent.changedTouches[0]) || event.originalEvent.target.localName === 'textarea'
|| event.originalEvent.target.localName === 'input' || event.originalEvent.target.localName === 'button' || event.originalEvent.target.localName === 'li'
|| event.originalEvent.target.localName === 'a'
|| event.originalEvent.target.localName === 'select' || event.originalEvent.target.localName === 'img') {
add as many ors as you want for each of the elements you want to 'unlock'
Hope that helps someone