Pak-Iran trade reaches $2bn in 10 months

KARACHI: Iran’s Consul General Hasan Noorain has said that the volume of bilateral trade between Pakistan and Iran has reached $2 billion in the last 10 months, while the target has been set at $5 billion.

However, due to the absence of a banking channel, trade activities have been facing difficulties, he expressed these views during his visit to the Korangi Association of Trade and Industry (KATI).

KATI President Faraz-ur-Rehman, Deputy Patron-in-Chief Zubair Chhaya, Senior Vice President Nighat Awan, former presidents Farukh Mazhar, Shaikh Fazal-e-Jalil, and First Consul of Iran Masoud Kian Bakhsh among others participated in the event.

Iranian CG further said that the visa policy has been relaxed and six new border markets have been established to promote trade with Pakistan. Progress is also being made in barter trade and in this regard, all the preparations are complete on Iran’s side, while on Pakistan's side, the Federal Board of Revenue (FBR) is developing software that will make barter trade possible.

Noorain said that there are friendly and brotherly relations between Pakistan and Iran, but unfortunately the trade between the two countries has not developed as it should have. He said that all obstacles to the free trade agreement between the two countries have been removed, after which trade in 600 products would be possible between Iran and Pakistan.

He said that the trade delegation of Iran had a successful visit recently after which a memorandum of understanding was signed with the Trade Development Authority of Pakistan (TDAP).

The Iranian CG said that under the agreement with Pakistan, the National

Logistics Cell (NLC) has been allowed to access the European market through Iran.

Earlier, KATI President Faraz-ur-Rehman said, “We are happy that several agreements have been concluded with the Iranian trade delegation. However, due to the global crisis, there has been a big difference in trade.”

The opportunities of trade were immense between the two countries; however, Rehman said that the absence of a banking channel was a major hurdle that needed to be solved urgently.

KATI president said that the shortage of petroleum products and gas in Pakistan could be met by Iran. “There is a need to promote barter trade between the two countries,” he added. Recently, Iran's Single Country Exhibition brought awareness to Iranian products.

However, the KATI president said that Iranian products were already being used frequently in other parts of the country, including Balochistan.