It is simple logic that next step in Indo-Pak trade talks should take place only when the first step in the process has been taken. And the first step is that Pakistan should remove restrictions imposed on trade with India. Pakistan has to remove items from negative list enabling her to confer MFN to India. There was some movement on Pakistani side last year in processing the matter of MFN but it was aborted at the eleventh hour. There are contradictory opinions in policy planning circles in Pakistan which hinder a final and positive decision in this behalf for that country. It is to be reminded that trade liberalization process between the two countries came to grinding halt when Pakistani intruders brutally killed two Indian soldiers. Pakistan Army had denied involvement in this heinous crime and said that she has no control over non-state actors. Pakistan had fixed the deadline for granting MFN status to India. As such Pakistan’s insistence on resumption of trade talks cannot have takers on the Indian side.