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India banned all imports from Pakistan, Modi government another strike against Islamabad

by Sandhya Hirani
May 3, 2025
India banned all imports from Pakistan, Modi government another strike against Islamabad

The tension between India and Pakistan has reached its peak after a terrorist attack in Basaron Valley in Pahalgam, a popular tourist destination in Jammu and Kashmir on 22 April. 26 innocent people died and many were injured in this attack. The resistance front (TRF), associated with the terrorist organization Lashkar-e-Taiba, took responsibility for this attack. After this, the Government of India has taken many stringent steps against Pakistan, in which new links of business and economic sanctions have now been added.

India banned every type of imports from Pakistan

According to the notification of the Ministry of Commerce, India has banned all direct and indirect imports and transit from Pakistan with immediate effect. This ban has been imposed in the interest of national security and public policy. Now any item generated or exported from Pakistan, whether it is generally importable or not, will not be brought to India.

It has also been clarified in the notification that prior approval of the Government of India will be mandatory for any exception. As part of this move, a new provision has been added to the Foreign Trade Policy (FTP) 2023 to stop any type of trade from Pakistan.

Indo-Pak trade has already weakened

According to government data, between April 2024 to February 2025, India’s exports to Pakistan declined by 56.91% to only $ 491 million, while no imports from Pakistan were recorded. Medicines, Chinese, Chemicals and Auto Parts were prominent in India’s exports. The business route through the Attari-Wagah border has already been closed.

Pressure will also increase in international forums

India is now working on a strategy to increase economic pressure on Pakistan not only bilateral, but also on multilateral forums. According to media reports, India is contacting organizations such as International Monetary Fund (IMF), World Bank and Asian Development Bank (ADB) to reconsider the loans and assistance to Pakistan. According to government sources, India wants IMF to review the recent economic relief schemes given to Pakistan. Apart from this, India will also urge FATF to put Pakistan in the ‘Gray List’ once again.

Economic crisis for Pakistan further deepened

Pakistan, already facing deep economic crisis, is now completely dependent on foreign debt and financial aid. If India’s diplomatic efforts disrupted international financial assistance, then it will be difficult for Pakistan to maintain its economic structure. This situation can also raise a question mark on the internal stability of Pakistan and the existence of the government.

Other tough steps also apply

The Government of India has also taken many other strategic steps earlier, including:

Suspension of Indus Water Treaty

Closing Attari Integrated Check Post

Suspend visa services for Pakistani citizens

conclusion

The Pahalgam attack has forced India to take tough measures. It is now clear that India is working on a strategy to surround Pakistan not only on the security front, but also on the economic and diplomatic front. These steps may have an impact on Pakistan’s economy and international status.

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