In a significant diplomatic and economic development, India has imposed a complete ban on all imports from Pakistan following the brutal terror attack in Pahalgam, Jammu and Kashmir. The government announced this measure citing national security and public policy concerns, marking a further deterioration in the already strained ties between the two neighbouring countries.
The ban comes in the wake of the tragic incident in Baisaran meadow near Pahalgam, where terrorists attacked civilians on April 22, 2025. The massacre claimed the lives of at least 26 innocent people, including a tourist from Nepal and a local pony guide. Investigations soon pointed to terror links emanating from Pakistan, prompting swift condemnation and strong action from the Indian government.
Government Notification: All Imports Prohibited
A formal notification issued by the Ministry of Commerce and Industry declared that the import or transit of any goods originating in or exported from Pakistan, whether direct or indirect, is prohibited with immediate effect. The notification stated,
“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.”
The order further clarified that any exceptions to this prohibition would require the prior approval of the Indian government. This decision is a clear signal of India’s zero-tolerance policy toward cross-border terrorism and its resolve to use economic tools to respond to acts that threaten national security.
Closure of Wagah-Attari Trade Route
The decision to halt imports follows the earlier closure of the Wagah-Attari border post, which served as the only trade route between India and Pakistan. The suspension of trade through this route underscores the seriousness of the situation and the government’s intent to isolate Pakistan diplomatically and economically.
The border had already been witnessing minimal trade activity in recent years. Following the 2019 Pulwama terror attack, India had imposed a 200% customs duty on goods imported from Pakistan, resulting in a steep decline in bilateral trade. Official reports estimate that imports from Pakistan constituted less than 0.0001% of India’s total imports in the 2024-25 financial year.
Historical Context of Economic Measures
India and Pakistan have a long history of tense relations, often exacerbated by incidents of terrorism and ceasefire violations. The Pulwama terror attack in February 2019, which killed 40 CRPF personnel, marked a turning point in trade relations. India swiftly withdrew Most Favoured Nation (MFN) status for Pakistan and imposed steep tariffs.
Since then, trade between the two countries has been largely symbolic. Goods such as fruits, oilseeds, and pharmaceutical products formed the bulk of imports from Pakistan. However, the volume had reduced drastically, making the latest ban more symbolic than economically impactful. Nevertheless, it serves as a powerful diplomatic statement.
Strategic and Diplomatic Implications
The move to ban all imports sends a strong message not only to Pakistan but also to the international community. It reflects India’s firm stand against terrorism and its intent to pursue all possible avenues — including economic sanctions — to protect its citizens and sovereignty.
From a diplomatic standpoint, this action could further isolate Pakistan on the global stage, especially as evidence linking Pakistani entities to the Pahalgam attack emerges. India has already begun briefing key allies and partners, urging global powers to take cognizance of Pakistan’s role in fostering terrorism.
Impact on Pakistan and Bilateral Relations
While the ban may not significantly impact India’s economy, it could further strain Pakistan’s already fragile economy. With limited trade options and rising inflation, Pakistan faces increasing pressure both internally and externally. For businesses in Pakistan that relied on the Indian market, this ban could mean loss of revenue and greater economic uncertainty.
Bilateral relations, already at a low point, are expected to suffer further setbacks. Confidence-building measures, if any were in place, are now likely off the table for the foreseeable future. The path to dialogue appears blocked unless Pakistan demonstrates credible action against terror outfits operating on its soil.
Conclusion
India’s decision to ban all imports from Pakistan in response to the Pahalgam terror attack is a decisive move aimed at safeguarding national security and sending a clear message against terrorism. While the trade impact may be minimal in numbers, the political and diplomatic signals are profound. As tensions between the two nations escalate, the international community will be closely watching the developments, hoping for de-escalation but recognizing India’s right to defend its sovereignty.
