India has banned the transit of goods from and to Pakistan amidst escalating military tensions, with both countries placing also port restrictions causing disruptions in trade.
On 2 May the Directorate General of Foreign Trade (DGFT), Ministry of Commerce and Industry, issued a notification prohibiting import of all goods originating in or exported from Pakistan to India. As a result, import of goods from Pakistan directly or through any other trade route has been prohibited.
On 3 May 2025, this was amended to read “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”.
According to James Mackintosh & Co Pvt Ltd, and AIV Private Limited, currently, all ports in India, including the ports close to the border with Pakistan, remain operational.
Moreover at this stage, port operations remain stable and functional, with vessels berthing, loading/discharging, and sailing without disruption. However, security measures have been intensified, and all activities are under close surveillance by authorities.
On the other side, Pakistan’s Ministry of Maritime Affairs has banned Indian-flagged vessels from docking at its ports and reciprocally barred Pakistani ships from calling at Indian ports. Additionally, on 4 May 2025, Pakistan’s Ministry of Commerce issued SRO 750(I)/2025, imposing further trade restrictions. These new regulations prohibit:
- the transit through Pakistan of goods of Indian origin, imported by third countries (via sea, land, and air),
- goods imported from India by third countries (via sea and air), and
- the exports of third countries to India (via sea, land, and air).
According to Gard, the above-mentioned prohibitions may apply to imports/exports for which B/L and LC were issued or established prior to the issuance of the above order, i.e. prior 4th May 2025.
Status of Indian crew members:
As of now, no official restrictions have been imposed by Pakistani Port Authorities regarding the sign-on/sign-off of Indian crew members on non-Indian vessels.
As far as Indian Crew on third Country Vessel/Flag of convenience is concerned, AIV Private Limited advises precaution and one of them is to do not change crew at this point as it may raise certain concern.
In addition, it is anticipated that crews shore leave would not be allowed and they would be asked to stay on ship only.
Key recommendations
- Given the ongoing volatile security situation in both India and Pakistan, Gard strongly advises ship operators and masters trading in these waters to assess the risks associated with all port calls.
- Continuous and careful monitoring of the evolving situation is strongly recommended.
- All advice received from flag administrations and port authorities regarding the applicable safety and security measures should be strictly followed.
Furthermore, Gard warns that the escalating tensions can also lead to various contractual disputes. Given the intricate nature of the agreements and the specific circumstances of each voyage, navigating these disputes will require careful legal consideration.
