India has banned ships carrying goods that come from Pakistan or are exported by Pakistan. This ban, which started on May 2, 2025, came after the Pahalgam terror attack and affects both direct and indirect shipments through Indian ports.
Because of this ban:
- Freight (shipping) charges have gone up, and
- Delivery times have increased by 30 to 50 days for Pakistani importers, according to Javed Bilwani, head of the Karachi Chamber of Commerce.
Many big cargo ships (called mother vessels) are no longer going to Pakistan. So, importers have to depend on smaller feeder ships, which are slower and cost more.
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Exporters are also feeling the impact. While exports haven’t dropped much, insurance and shipping costs have risen. Aamir Aziz, a textile exporter, said that these costs had already been increasing, but the ban made things worse.
Pakistan’s export industry is facing trouble because it relies heavily on imported raw materials. The ban is making it harder and more expensive to run businesses, especially since Pakistan is also limiting non-essential imports to save foreign currency.
Meanwhile, India is actively cracking down on any attempts to bypass the ban. One such crackdown is called ‘Operation Deep Manifest’, led by the Directorate of Revenue Intelligence (DRI). This operation found that 39 containers of goods labeled as from the UAE were actually from Pakistan. These goods were secretly sent through Dubai to hide their real origin.
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During the investigation, authorities also discovered money trails linking Indian importers to Pakistani companies. One trading firm partner has been arrested.
The Indian government said this ban is important for national security. It is part of larger operations like ‘Operation Sindoor’, which aim to keep a close check on border trade and stop the misuse of trade routes.
India had earlier raised import duties to 200% on Pakistani goods after the 2019 Pulwama attack. Since then, trade between the two countries has dropped drastically:
- In 2018, bilateral trade was $2.41 billion.
- In 2024, it was down to just $1.2 billion.
- Pakistan’s exports to India fell from $547.5 million in 2019 to only $480,000 in 2024.
India says these trade restrictions are necessary to protect its economy and security.
