Indian goods of $10 bn annually reach Pak via third nations: GTRI

Indian goods worth over $10 billion are reaching Pakistan every year indirectly through ports such as Dubai, Singapore, and Colombo, bypassing trade restrictions, according to estimates of economic think tank GTRI.

- Press Trust of India

NEW DELHI:

Explaining the system, Global Trade Research Initiative (GTRI) said that Indian firms send goods to these ports, where an independent company offloads the consignment and keeps the products in bonded warehouses, where goods can be stored without paying duties while in transit.

"In the bonded warehouse, the labels and documents are modified to show a different country of origin. For example, Indian-made goods may be relabeled as 'Made in UAE'. After this change, they are shipped to countries like Pakistan, where direct trade with India is not allowed," GTRI founder Ajay Srivastava said.