Daijiworld Media Network - New Delhi
New Delhi, Apr 27: In a strong response to the recent terrorist attack in Pahalgam, Indian traders have unanimously decided to sever all trade ties with Pakistan. The announcement came after a meeting of the Confederation of All India Traders (CAIT) National Governing Council, attended by trade leaders from 26 states, held in Bhubaneswar.
Praveen Khandelwal, CAIT Secretary General and MP from Chandni Chowk, said the council passed a resolution condemning the "barbaric killing of innocent tourists" and calling for a "total boycott" of trade with Pakistan. "The business community has resolved to immediately halt all imports and exports involving Pakistan," Khandelwal declared.
The resolution underlined that supporting trade relations with a hostile nation in the aftermath of such an attack would be unacceptable. Traders expressed unwavering backing for Prime Minister Narendra Modi’s tough stand against terrorism and demanded the harshest punishment for those responsible.
India-Pakistan trade relations, already strained after the 2019 Pulwama attack, had seen a sharp decline—from nearly $3 billion in 2018 to just $1.2 billion by 2024. Between April 2024 and January 2025, India exported around $500 million worth of goods such as pharmaceuticals and chemicals to Pakistan, while imports were negligible at $0.42 million. This residual trade will now cease entirely, CAIT confirmed.
Trade leaders acknowledged that some exporters might face temporary setbacks but insisted that national interest outweighs economic considerations. “The trading community is ready to bear any loss for the unity and security of the nation,” the CAIT statement emphasized.
In a separate resolution, CAIT turned its fire on E-Commerce and Quick Commerce platforms, accusing them of flouting regulations, selling counterfeit goods, and undermining small businesses. The traders demanded the immediate implementation of an E-Commerce policy and stricter enforcement under the Consumer Protection Act and Foreign Direct Investment (FDI) rules.
Calling for a bold step, CAIT also proposed a 28 per cent GST on E-Commerce and Quick Commerce deliveries, arguing that instant delivery is a luxury and should be taxed accordingly.
Finally, the traders urged the government to undertake a comprehensive review of the GST structure, suggesting a rationalisation of tax slabs to simplify the system and broaden the tax base.