look news india
Trade between India and Pakistan has been almost zero in the first five months of the current financial year. According to government data, India’s imports from Pakistan remained zero. However, India has exported goods worth $235 million to Pakistan. Let us understand the complete information.
Relations between India and Pakistan have been tense since independence in 1947. Terrorism, border conflicts and political differences often affect relations between the two countries. However, despite the rivalry, trade relations between the two countries remain intact, but if the relations between the two countries are seen from a trade perspective, there has been a huge decline in trade activities in recent years.
What is the status of business now?
Trade between India and Pakistan has been almost negligible in the first five months of the current financial year. According to government data, India’s imports from Pakistan remained zero. However, India exported $235 million worth of goods to Pakistan, mainly sugar and pharmaceutical products. In the last financial year 2023-24, India imported only $3 million worth of goods from Pakistan, which mainly included some agricultural commodities.
What goods are imported and exported?
India imports mineral oils, copper, fruits, dry fruits, salt, sulphur, plaster materials and cotton from Pakistan. While India exports chemicals, vegetables, plastic products, dairy products, pharmaceuticals and sugar to Pakistan.
Trade relations changed after 2019
There was a sharp decline in India-Pakistan trade relations after the Pulwama terror attack in February 2019. After the attack, India snatched the Most Favored Nation (MFN) status from Pakistan. After this, Pakistan also suspended trade relations with India. Trade relations deteriorated further due to the tense political environment between the two countries and the abrogation of Article 370 by India. Despite the rivalry, trade relations still exist between India and Pakistan for some goods. Pharmaceutical products and sugar exported by India are important for Pakistan’s economy.
Experts believe that trade relations between the two countries can improve only when political tension reduces. At present trade figures are low, but the possibility of improvement in trade relations cannot be completely ruled out. India–Pakistan trade relations show that even when political differences run deep, mutual need for certain goods can compel the two countries to trade.