Pakistan is looking into areas of trade for cooperation with Iran; in order to take the much-awaited step towards reviving trade relations, Pakistan is considering enforcing its five-year bilateral trade roadmap, already envisaged with an ambitious target of $5 billion, up from the present $270 million. Horticulture is one of the key potential trade areas Pakistan is eyeing.
“The post-sanction scenario means we could have a significant market waiting for us,” said a senior Ministry of Commerce officer, directly involved in Iran-related issues.
He further said that the government had formulated a five-year bilateral trade roadmap which would facilitate the private sector. However, until the time formal banking channels are opened, an interim credible payment mechanism with Iran needs to be put in place by the State Bank of Pakistan (SBP) in consultation with the Central Bank of Iran (CBI).
At the same time, Iran has conveyed its willingness to set up two additional crossing points at Gabd (Pakistan)-Reemdan (Iran) and Mand (Pakistan)–Pishin (Iran). At present, there is only one international crossing point on Pak-Iran border at Taftan (Pakistan) and Mirjaveh (Iran).
But while the government is eager to move ahead with its roadmap and organising single-country exhibitions, the private sector is sceptical on the way forward.
“We have not started official marketing for the single-country exhibition in Iran, but we are noticing a great level of interest in agro-based industries, fruit and vegetable exporters and the footwear sector who want to participate in the exhibition,” Trade Development Authority of Pakistan (TDAP) Secretary Rabiya Javeri Agha told The Express Tribune.
Despite enormous trade potential, officials of TDAP – the country’s top body to promote exports – say the speed of progress in business and trade will only increase once the two countries settle down issues over banking channels.
Source: tribune.com.pk