Mustafa said: "Indian films can't gain market in Pakistan until and unless Pakistani films enjoy the same kind of success in India."
The film director said this at a time when Bollywood films "Taj Mahal: The Eternal Love Story" and "Mughal-e-Azam" are on in Pakistani cinemas after being approved by the Pakistan government.
The high-budget film based on the monument to love was released April 28. Producer-director Akbar Khan had said the government's move to allow screening of the film would promote cultural exchanges as well as friendly ties between Pakistan and India.
The film Mughal-E-Azam was the first Indian film to be released in Pakistan after 41 years on April 22. Both the films are receiving a tremendous response.
Mustafa said that the Pakistani producers would have a tough job ahead with the introduction of Indian films in the country.
"They will now have to compete with Bollywood which is not at all easy," he commented.