“Indirect Tax I Indirect Tax Litigation I Customs & FTP I Central Licensing I Arbitration I Advisory”
Dated: 03.05.2025
Government of India Bans Import and Transit of Goods from Pakistan
The Directorate General of Foreign Trade (DGFT), Ministry of Commerce & Industry, Government of India, has issued a notification dated 2nd May 2025 introducing a critical amendment to the Foreign Trade Policy (FTP) 2023. Through this notification, a new Para 2.20A has been inserted to enforce a comprehensive prohibition on import and transit of all goods originating in or exported from Pakistan, with immediate effect.
Key Highlights of the Notification:
Insertion of Para 2.20A into FTP 2023:
“Direct or indirect import or transit of all goods originating in or exported from Pakistan, whether or not freely importable or otherwise permitted, shall be prohibited with immediate effect, until further orders. This restriction is imposed in the interest of national security and public policy. Any exception to this prohibition shall require prior approval of the Government of India.”
Legal Backing:
- Issued under Section 3 read with Section 5 of the Foreign Trade (Development & Regulation) Act, 1992.
- Enabled through Paragraphs 1.02 and 2.01 of FTP 2023.
Scope of Prohibition:
- Applies to all categories of goods, regardless of their import status.
- Includes both direct shipments and goods transiting through third countries.
- Restriction remains in force until further orders from the Government of India.
Rationale:
- The measure is taken in the interest of national security and public policy considerations.
Compliance Advisory:
- Importers, logistics service providers, and customs brokers must update their systems and SOPs accordingly.
- Any exceptions to the rule must be routed through the Government of India for prior approval.
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Source: DGFT
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