So, huzoor no one in Pakistan is fearful of trading with India because whatever the Chinese haven't managed to run out of business due to them being the Cost Leader of the world or the rest of the world hasn't due to higher quality & branding, our looming power crises has !
Which means the Industries that remain are competitive enough to compete anyone....literally anyone out there & that, in a way, comes from the horse's mouth (I never could understand this proverb) because the 2-3 Textile Industries I audited here in Lahore were rearing to have a go at the Indian Market !
What all of them including almost anyone who has ever traded with India, including a relative of mine, were unanimous in their demand that trade should be on the basis of 'fair-play' which means protectionistic measures in the form of non-tariff barriers should be done away with because otherwise they - the Indian Businessmen - are going to have open access to the Pakistani Market for ours is by far the freest in the region & considerably free when compared with the rest of the world (there was even a Report published by some International Organization, circulating in the news, to that effect, recently) whilst for us - the Pakistani Businessmen - the access wouldn't be there because we'd again be bogged down by these non-tariff barriers; therefore our reluctance to grant India the MFN status is because of that !
If there is some movement there....there would be some movement here !
As for the Chemical Industry - I dunno I don't know anyone working there but I've heard talk of opportunities of cheaper Chemicals being imported from India by people working in other industries - So that would be good for the both of us !