The Atari border has long been more than just a line on the map—it’s been a lifeline for trade, travel, and ties between India and Pakistan. However, after the Phalagam Attack on April 23, India has shut the border, raising political tension between the two countries.
A Key Historical Trade Route
Trade levels via Atari-Wagah have always changed with the political situation. The route served as an important path for goods. Pakistan exported items like cement and dates to India. India sent goods like tomatoes and cotton to Pakistan. This route was useful when sea transport cost more or took longer. Officials developed the Integrated Check Post (ICP) at Atari to simplify this trade. It handled customs, immigration, and cargo. However, restrictive policies and political tensions often limited trade volumes. For example, trade dropped sharply after the 2019 Pulwama attack. Following that event, Pakistan suspended bilateral trade, and India withdrew Most Favoured Nation (MFN) status.
Read More: A Treaty that Withstood 3 Wars: What is the Indus Waters Treaty?
Impact of the 2025 Closure
The complete closure stops all remaining official land trade between the countries. Official trade was already low compared to its potential. Still, the closure removes a potentially important economic connection. It primarily affects traders and businesses on both sides. Those who used this route for specific goods now face problems. They might need to reroute goods through more costly sea routes or via other countries. This will likely raise their expenses.
Beyond Formal Trade
The closure also severely affects informal trade and personal travel. Families living across the border face difficulties. Pilgrims visiting shrines (outside specific corridors like Kartarpur) are impacted. Travellers using cross-border bus or train services cannot use this route. The shutdown disrupts jobs related to border logistics and transport. Symbolically, closing this major border crossing highlights the deep freeze in relations. It marks a shift beyond trade limits towards nearly cutting off land connections. This signals a serious escalation in diplomatic tensions.
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