BANKING AFFAIRS

Detailed explanation-1: -“India has withdrawn MFN status to Pakistan after the Pulwama incident. Upon withdrawal, basic customs duty on all goods exported from Pakistan to India has been raised to 200% with immediate effect, ” he said. India had on Friday stripped Pakistan of MFN status, which offered the country certain trade privileges.

Detailed explanation-2: -Protective effect: an import duty raises the price of imported goods. This increase in the price of imports is likely to reduce imports and increase the demand for domestic goods. Import duties may also enable the domestic industries to have higher production costs.

Detailed explanation-3: -Yes, India allows all goods to be imported from Pakistan, except for a list of items that India has banned from being imported from all countries (http://indiapakistantrade.org/pdf/India’s-restricted-items-for-imports.pdf). Does Pakistan allow all goods to be exported to India?

Detailed explanation-4: -India Imports from Pakistan was US$2.41 Million during 2021, according to the United Nations COMTRADE database on international trade. India Imports from Pakistan-data, historical chart and statistics-was last updated on February of 2023.

Detailed explanation-5: -Goods & Services Tax (GST) is levied on all imported goods, with the tax rate being 10% of the value of the goods. In addition, there is the Integrated GST or IGST which is applied to the value of the imported goods plus all applicable customs duties.