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The Directorate General of Foreign Trade announces that any exceptions to the prohibition will require prior approval from the Government of India , following recent security concerns after the Pahalgam terror attack.
India Bans Imports from Pakistan Citing National Security Concerns
In response to the recent terror attack in Pahalgam that claimed the lives of 26 people, primarily tourists, the Indian government has imposed an immediate ban on all direct and indirect imports from Pakistan. The decision, announced through an official order on Friday, May 2, 2025, was taken in the interest of national security and public policy.
The decision will entirely stop all inbound shipments of goods from Pakistan to India. In the period from April to January 2024-25, India’s exports to Pakistan amounted to $447.65 million, while imports from Pakistan were only $0.42 million.
A provision has been included in the Foreign Trade Policy (FTP) 2023, which “prohibits the direct or indirect import or transit of all goods originating from or exported by Pakistan, effective immediately and until further notice,” according to a notification issued by the Directorate General of Foreign Trade (DGFT) on May 2.
The order stated that this restriction has been implemented for the sake of national security and public policy. It further mentioned that any exception to this prohibition would need the approval of the Government of India.
The Directorate General of Foreign Trade (DGFT) issued a notification on May 2, 2025, stating that all imports and transits of goods originating from or exported by Pakistan are now prohibited under the Foreign Trade Policy (FTP) 2023. This restriction is effective immediately and will remain in place until further notice.
The provision, titled “Prohibition on Import from Pakistan,” specifies that direct or indirect imports or transits of goods from Pakistan—whether freely importable or otherwise permitted—are banned. The restriction has been implemented in the interest of national security and public policy.
The notification further clarifies that any exceptions to this ban will require approval from the Government of India.
The primary imports from the neighboring country during April-January 2024-25 consisted of fruits and nuts ($0.08 million), certain oil seeds and medicinal plants ($0.26 million), and organic chemicals. This move comes in the wake of a terror attack in Pahalgam on April 22, which claimed 26 lives.
In response to the terrorist attack, India implemented several measures, including the immediate closure of the Attari land-transit post, which is used for the movement of specific goods. Additionally, India announced the expulsion of Pakistani military attaches and the suspension of the 1960 Indus Water Treaty.
Due to this, trade between India and Pakistan has effectively come to a standstill. Bilateral trade had already been minimal following the actions taken by both nations after the Pulwama terror attack in 2019.
In a retaliatory move, Pakistan has announced the suspension of all trade with India, including transit trade involving third countries through its territory. During the financial year 2023-24, India’s exports to Pakistan stood at $1.18 billion, while imports were valued at just $2.88 million.
According to sources, India is planning to urge global multilateral agencies to reassess the loans and grants extended to Pakistan.
In previous years, trade between the two countries also remained limited. In 2022-23, India exported goods worth $627.1 million to Pakistan and imported goods worth $20.11 million. In 2021-22, exports were valued at $513.82 million, with imports totaling $2.54 million.
Between April and January of the 2024–25 fiscal year, exports of organic chemicals and pharmaceutical products made up approximately 60% of India’s total exports to Pakistan, amounting to $129.55 million and $110.06 million, respectively.
India subsequently increased the import duty to 200% on all goods coming from the neighbouring country, covering items such as fresh fruits, cement, petroleum products, and mineral ore.
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