The reason India wants Most Favoured Nation (MFN) status from Pakistan became apparent from the trade figures for the two countries for the first four months of the current financial year. India ran up a trade surplus of $307.8 million, which leaves it on course to beat the last financial years record trade surplus, which crossed $1 billion for the first time. For the corresponding period, the deficit in favour of India was $257.1 million. It should be noted that MFN status has not yet been granted, and when it is, trade is expected to expand. The direction of the trade is not mentioned in all these airy speculations, which build castles in the air. However, it is a safe assumption that India envisages an expansion of the surplus it has, along with trade. In short, it sees MFN status as a means of expanding its mercantilist trade with Pakistan, where it will suck foreign exchange out of it until it browbeats it into a position of dependence. This would not happen if the USA was not so firmly on its side, and if the present government was not so subservient to the USA, and the plans it is making in concert with India for the region. The Indian government holds to the belief that obtaining foreign exchange from other countries adds to national power. The Pakistani government by its actions seems willing to placate the USA at the cost of its national interests. By handing over to India the foreign exchange earned at such great cost by its exporters, Pakistan is subsidising Indias continued illegal occupation of Kashmir. In fact, that issue should have been placed at the top of the agenda by Pakistan, despite Indias attempts to brush it under the carpet, and its solution should have formed a precondition for the increase in trade. It is a great pity that Pakistan has supinely agreed to grant India MFN status even though its purpose is to swell the Indian surplus, and it will have as a consequence the destruction of what remains of Pakistans industry. The government should engage in concerting measures which will convert Pakistans deficit with India into a surplus, in the present trade regime, and MFN status must not be granted, for that will sound the death knell of Pakistani industry. Pakistans government must not try to fulfil narrow partisan ends by currying favour with the USA, at the expense of Pakistans vital interests, by chummying up with India, even though there are numerous issues that remain unsolved with it, with MFN status merely being the latest.