Fence at India-Pakistan border.
New Delhi: The Government of India prohibited all direct and indirect imports of goods from Pakistan, effective immediately, citing national security and public policy concerns following the April 22, 2025, Pahalgam terror attack in Jammu and Kashmir that killed 26 people.
The Directorate General of Foreign Trade (DGFT), under the Ministry of Commerce and Industry, issued Notification No. 06/2025-26 on May 2, announced today, amending the Foreign Trade Policy (FTP) 2023 with Paragraph 2.20A: “Direct or indirect import or transit of all goods originating in or exported from Pakistan, whether or not freely importable or otherwise permitted, shall be prohibited with immediate effect, until further orders. This restriction is imposed in the interest of national security and public policy.”
No verified response from the Government of Pakistan was reported at the time of going to the press today. However, Pakistan’s Deputy Prime Minister and Foreign Minister, Mohammad Ishaq Dar, chaired a meeting today after India’s ban order, to evaluate the progress of investment initiatives from allied countries across different sectors. The meeting was attended by Special Assistant to the Prime Minister Tariq Bajwa, the Chairman of the Securities and Exchange Commission of Pakistan, and Secretaries from the Petroleum and Finance ministries, along with other senior officials from the Ministry of Foreign Affairs and relevant departments. The discussions were centred on foreign investments in infrastructure, energy, petroleum, and economic development. Dar emphasised the need for streamlined processes, enhanced coordination among institutions, and the rapid implementation of investment projects. He reaffirmed the Pakistani government’s commitment to providing all necessary support to ensure these investments yield tangible results for economic growth and prosperity. Dar also held a telephone conversation with the Swiss Federal Councillor and Foreign Minister, Ignazio Cassis, Foreign Minister of Greece, George Gerapetritis, to express “grave concern over India’s recent provocative actions. This has become his daily routine to call up foreign ministers of different countries post Pahalgam terror attack.
Moreover, in the wake of heightend tension between the two countries, Pakistan today launched the training of the Abdali Weapon System — a surface-to-surface missile with a range of 450 km, which Dar termed to be “successful”.
The Directorate General of Foreign Trade’s ban, requiring government approval for exceptions, targets Pakistan’s exports to India, valued at $0.42 million from April 2024 to January 2025, primarily fruits, nuts, and medicinal plants, according to Directorate General of Foreign Trade data. It disrupts Pakistan’s imports from India, worth $304.93 million in 2024, including organic chemicals ($164.19 million) and pharmaceuticals ($120.86 million), per the United Nations Commodity Trade Statistics Database (UN COMTRADE). India’s exports to Pakistan were $447.65 million in the same period. The World Bank projects Pakistan’s 2024-25 economic growth at 2.7%, with rising debt and inflation likely exacerbated by the loss of Indian pharmaceuticals, vital for its healthcare sector.
The ban aligns with the World Trade Organization’s (WTO) Article XXI security exception, which permits trade restrictions for national security without notification. In 2019, India invoked this clause to revoke Pakistan’s Most Favoured Nation (MFN) status, a World Trade Organization rule requiring equal trade treatment, after the Pulwama attack killed 40 Central Reserve Police Force personnel, imposing a 200% import duty in February 2019. The 2025 ban extends this policy, blocking indirect imports via countries like the United Arab Emirates, without facing World Trade Organization penalties.
The Pahalgam attack in Jammu and Kashmir’s Baisaran Valley, attributed to The Resistance Front, a group linked to Pakistan-based Lashkar-e-Taiba, killed 25 Indian citizens and one Nepali citizen. The Directorate General of Foreign Trade’s ban aims to curb financial flows tied to terrorism, building on the 2019 ‘Most Favoured Nation’ withdrawal. India’s import prohibition reinforces its commitment to countering cross-border terrorism, informed sources said.
– global bihari bureau
