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$500 million Pakistani goods entering India via other countries despite import ban: Report

Following the deadly terror attack in Pahalgam, India banned all imports from Pakistan, but Pakistani goods worth $500 million are reportedly entering India through third countries like the UAE, Singapore, Indonesia, and Sri Lanka.

May 05, 2025 / 11:46 IST
Pakistan goods worth $500 million enter India via UAE, Singapore, Indonesia, Sri Lanka

After the deadly terror attack in Pahalgam, which claimed 26 innocent lives, India took the bold step of banning all imports from Pakistan, prohibiting Pakistani ships from docking at Indian ports, and implementing other decisive measures.

Following the import ban, Pakistani goods like dry fruits and chemicals worth $500 million are believed to be making their way into India through third countries, including the UAE, Singapore, Indonesia, and Sri Lanka, as quoted by news agency PTI.

The official further cited that Pakistani exports, which once made their way directly to India, are now being channeled through alternative countries into India.

How Pakistani goods are making their way into India

The UAE is reportedly being used as a hub for repackaging and relabeling Pakistani fruits, dry dates, leather, and textiles before they are shipped to India. Meanwhile, chemicals from Pakistan are being routed through Singapore.

In addition, Indonesian territory is being utilized as a transit point for Pakistani cement, soda ash, and textile raw materials. Pakistani dried fruits, salt, and leather products are said to be transported to India via Sri Lanka.

Need for a complete ban

The official stressed the importance of enforcing a full ban on Pakistani exports to India, both direct and indirect, and urged close monitoring to identify goods that may enter India through origin manipulation.

He further stated that a comprehensive ban, including restrictions on indirect exports, would allow Indian customs authorities to prevent Pakistani goods from circumventing the regulations and entering the country.

The report comes to light following a notification issued by the Directorate General of Foreign Trade (DGFT), which prohibits all imports from Pakistan, whether directly or through a third country.

Government agencies have been instructed to maintain strict vigilance, according to a second official. The official emphasized that the order was crucial to empower customs and other agencies to take action against Pakistani products entering India through countries with more favorable relations.

This development follows a history of long-standing trade restrictions between India and Pakistan. After the 2019 Pulwama attack, India imposed a 200% tariff on Pakistani goods, severely limiting direct trade. Between April 2024 and January 2025, trade dropped to just $0.42 million, mostly consisting of niche items such as figs ($78,000), basil and rosemary herbs ($18,856), and Himalayan pink salt.

Official records from the Indian High Commission in Islamabad reveal that India continued to import various products from Pakistan, including copper, edible fruits and nuts, cotton, salt, sulfur, organic chemicals, mineral fuels, plastics, wool, glassware, and raw hides.

Moneycontrol World Desk
first published: May 5, 2025 11:16 am

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