third eye
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The trade and travel restrictions will have a negligible impact on Pakistan - the trade balance is in favor of India anyway.
The problem with the other 'contingency proposals' - cutting off water, attacks on sites within Pakistan etc. - is that they will likely result in war, and the FICCI groups understands that, which is why the caution the GoI to be prepared for war and international condemnation.
So in essence in many ways this document suggests proposals that will lead to war, and is therefore unhelpful, but at the same time indicative of why Pakistan cannot lower its guard against India.
In the Indo - Pk context 62 years have taught us never to lower the guard.