New Delhi: It was 20 years ago in 1996 that India accorded Pakisttan the Most Favoured Nation (MFN) status. In response to the Uri attack, todayPrime Minsiter Narendra Modi will review the decision at a meeting with senior officials of the Ministry of Commerce and Industry and the Ministry of External Affairs.
Even after 20 years, Pakistan has not granted MFN status to India. Pakistan’s argument has been, sources say, is that normalization of trade takes away its bargaining power during the composite dialogue.
Experts say that only common people in Pakistan and farmers in Punjab will be affected by revocation of MFN status. Industry is unlikely to be affected as businessmen on both sides have insulated themselves from the ups and downs in the relationship by using third countries, mainly Dubai, for trade. This is substantiated by the trade figures- while the official bilateral trade figure stands at $2.7 billion, while trade via third countries is estimated at around $4billion.