Sarhad Paar is a story of Ranjit Singh (Sanjay Dutt), an army soldier, who was declared missing in action whilst crossing the border by mistake but makes a comeback after a long time. Due to the maltreatment at the hands of enemy Ranjit has lost his memory.

Upon his return, he is greeted by his wife Pammi (Tabu) and his sister Simran (Mahima Choudhary), who take him to an army hospital for a medical examination.

But the horror for Ranjit is far from over. He often has the nightmares about atrocities of war and there is a face he sees, every time he closes his eyes, but can't identify.

A disappointed Pammi gives up hope. But Simran promises to do everything she can, to get her brother back to normal with help of Ravi (Chandrachur Singh), her fiancé, who is a folk singer.

Ranjit finally recovers from his illness and gets a chance to identify the face which has been tormenting him in his sleep. As a soldier he wants revenge for his days in captivity, as the husband, he longs to be with his wife. And as a brother, he acts as a father figure to his dear sister.

Meanwhile, Simran is caught in the emotional dilemma between helping her brother in finding the man behind the face and her commitment to Ravi whom she has just got engaged to.

How the personal dilemmas for all these characters get solved, form the climax of this Raman Kumar's directorial venture.