India imposes ban on Pakistani imports amid border tensions

India has banned the import of goods from Pakistan as the strained bilateral ties between two neighbouring coutnries further exacerbated after the Pahalgam attack on April 22.

India’s Directorate General of Foreign Trade issued a notification on Saturday, stating that the ban will be effective immediately. 

Indian media reported that the trade was banned under the newly added provision in the Foreign Trade Policy (FTP) that prohibits "direct or indirect import or transit of all goods originating in or exported from Pakistan with immediate effect until further orders".

"This restriction is imposed in the interest of national security and public policy," it read. 

"This order is issued to ensure the safety of Indian assets, cargo and connected infrastructure, in the public interest and for the interest of Indian shipping," the order said.

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The development came after Pakistan announced suspending all trade with India on April 25 and closed its airspace and land border. 

The measures follow the imposition of sanctions by India after an attack in occupied Kashmir that killed 26 people on April 22, and India blamed Pakistan for the deadly attack. 

Trade between Pakistan, India

Al Jazeera reported on May 1 that despite official statistics indicating limited trade, unofficial trade worth billions of dollars continues to take place between the two neighbouring countries.

"It added that during financial year 2017-2018, total trade between the two nations was reported at $2.41 billion, compared to $2.27 billion in the previous before.

According to India’s Ministry of Commerce, the country’s exports to Pakistan from April 2024 to January 2025 amounted to $447.7m. Pakistan’s exports to India during the same time period were just $420,000.

“India’s exports include pharmaceuticals, petroleum, plastic, rubber, organic chemicals, dyes, vegetables, spices, coffee, tea, dairy products and cereals,” it stated.

Meanwhile, Pakistan’s main exports include copper, glassware, organic chemicals, sulphur, fruits and nuts, and certain oilseeds.

Officially, Indian exports to Pakistan were valued at $447.65m, but actual trade was estimated to be significantly higher, around $10bn annually, with goods often being routed through third countries to evade restrictions and scrutiny, according to the Global Trade Research Initiative (GTRI).