New Delhi: Even as Pakistan seeks a $6 billion bailout from the IMF for mere survival, it has decided to suspend trade relations with India in a move, which, ironically, will hurt Pakistan itself much more than it will hit India. Pakistan took this decision as retaliation to India revoking the provisions of Article 370 from the state of Jammu & Kashmir.
India is a self dependent country whereas Pakistan is living on the funds of IMF. Hence the one who will be suffering in the issue will be Pakistan and not India. It is like a suicide attempt of Pakistan which has been quite common in past few months. Pakistan is not able to control its own states and wants to intervene in Kashmir’s matter which is beyond its reach.
The share of Pakistan in India’s imports of these items is only 2-3 per cent. Pakistan’s decision will cut it off from the Indian market where it sells 1.86% of its total exports. However, the same makes very little difference to India as Pakistan accounts for a mere 0.6 per cent of India’s total annual exports, according to the Department of Commerce. India is in a trade surplus of $1.66 billion with Pakistan.
Pakistan took this decision as retaliation to India revoking the provisions of Article 370 from the state of Jammu & Kashmir. Pakistan depends on India to a large extent for its cotton imports. India accounts for more than one-third of Pakistan’s total cotton imports, which will soon stop due to its own move. Pakistan also depends on India for its organic chemicals imports. India accounts for around 12 per cent of Pakistan’s organic chemical imports. As far as India’s dependence on Pakistan is concerned, major items that India imports from Pakistan are salts, fruits, and nuts.
