Syllabus:

GS 2: India and its neighborhood relations.

Context: .

The Directorate General of Shipping (DGS) has banned the entry of ships bearing Pakistan flags to Indian ports aftermath of recent terrorist attack in Pahalgam.

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In exercise of the power conferred by section 411 of the Merchant Shipping Act, 1958, keeping in view of the present terrorist attack, the following directions are issued by the Directorate General of Shipping: 

• A ship bearing the flag of Pakistan shall not be allowed to visit any Indian Port. 
• An Indian flag ship shall not visit any Ports of Pakistan. 

This order is issued to ensure the safety of Indian assets, cargo and connected infrastructure, in the public interest and for the interest of Indian shipping. 

Any exemption or dispensation from this order shall be examined and decided on case-to-case basis. 

This directive shall be effective immediately and will remain in operation until further notice or modification by the competent authority.

On May 2, 2025, India’s Directorate General of Foreign Trade (DGFT) issued a separate notification banning the import and transit of all goods originating in or exported from Pakistan.

• Between April 2024 and January 2025, India's imports from Pakistan fell significantly to $420,000, compared to $2.86 million during the same period the previous year.
• Similarly, Indian exports to Pakistan witnessed a steep decline, dropping to $447.7 million from $1.1 billion year-on-year.

What do the flags of countries mean in shipping?

The Merchant Shipping Act 1958, deals with ships with Indian flags anywhere in the world and ships with foreign flags while in Indian waters “to ensure safety of life at sea and safety of ships”.

According to the International Maritime Organisation (IMO), registering a ship with a state, grants that State the authority to protect the vessel under international law.

• This is an important provision since ships often travel through international waters beyond any single country’s jurisdiction.

International law requires each country to define the criteria for granting nationality to ships and permitting them to fly its flag, though no universally binding system exists for how this registration should be carried out.