SRINAGAR: Bilateral trade between India and Pakistan has collapsed by nearly 87 per cent in the two months following New Delhi’s suspension of the Indus Water Treaty and closure of the Attari Integrated Check Post in April, official data tabled in the Rajya Sabha shows.
Minister of State for Commerce and Industry Jitin Prasada told the House that India halted all passenger and goods movement through the Attari ICP on April 24, 2025, following the Pahalgam terror attack. This was followed by a blanket ban on May 2 on the direct or indirect import and transit of all goods from Pakistan. The Directorate General of Shipping also prohibited vessels bearing Pakistani flags from entering Indian ports, and vice versa.
In retaliation, Pakistan on May 4 suspended imports of Indian-origin goods transiting via third countries and blocked third-country exports to India via its territory. The restrictions remain in force as of July 30.
Trade data shows India’s exports and imports with Pakistan dropped from USD 103.45 million in May–June 2024 to just USD 13.17 million in the same period of 2025. Pakistan’s share in India’s overall trade fell from 0.05 per cent to 0.01 per cent.
Over the last five years, Pakistan’s share in India’s trade has consistently remained marginal, ranging between 0.05 per cent and 0.11 per cent. In 2024–25, bilateral trade stood at USD 558.24 million against India’s total global trade of USD 1.15 trillion.
The top Indian exports to Pakistan in 2024–25 included chemicals, cotton, dyes, plastics, and engineering goods. However, with volumes small in proportion to India’s global trade, Prasada said the economic impact of the current restrictions was “negligible.”
