Amid heightened national security concerns, India has banned all direct and indirect imports from Pakistan, cracking down on an estimated $500 million worth of goods being rerouted through third countries like the UAE, Singapore, Indonesia, and Sri Lanka.
Authorities revealed that Pakistani products—ranging from dry fruits and textiles to soda ash and leather goods—are being repackaged and relabelled in third nations to enter the Indian market undetected.
While direct trade between the two countries had already dwindled due to India’s 200% customs duty post the Pulwama terror attack in 2019, indirect channels have kept some trade alive—until now.
On May 2, the Directorate General of Foreign Trade (DGFT) issued a sweeping order prohibiting all imports linked to Pakistan, citing national security and public policy. Customs and enforcement agencies have been put on high alert to identify and block such goods at ports and borders.
Officials emphasized that the move aims to choke Pakistan’s export-dependent sectors amid its deepening economic crisis. “Terror and trade cannot go hand-in-hand,” a senior source said.
The clampdown follows the April 22 terror attack in Pahalgam, where 26 tourists lost their lives, an incident India blames on Pakistan-sponsored terror networks.
