Kabul unilaterally abandons APTTA, seeks fresh transit accord

ISLAMABAD: The trade ties with Afghanistan are currently touching lowest ebb as Kabul has unilaterally abandoned the Afghan Transit Trade Agreement signed in 2010 and sought the new trade accord having India as part of it.

So much so, Kabul administration does not stop here as it has also threatened moving WTO (World Trade Organization) on frequent closures of borders by Pakistan, one of the top men of the commerce ministry confided to The News.

Kabul does not stop itself here; rather, it asked for the constitution of the new forum instead of Afghanistan Pakistan Transit Trade Coordination Authority (APTTCA) also made to ensure effective monitoring of implementation of Transit Trade Agreement. Both the countries held six meetings under APTTCA so far and the seventh was due on September 11-12, 2017, but it was not confirmed by the Afghan side.

Both the countries are virtually facing stalemate over the last one and half year. APTTCA could not meet mainly because of Kabul administration which wants the permission of trade between India and Afghanistan through Wagah and Atari borders.

According to the latest letter written by Kamila Siddiqui, Acting Minister for Commerce and Industries and Deputy Minister for Trade Affairs of Afghanistan, on December 10, 2017, addressed to Pakistan’s Commerce Minister Muhammad Pervaiz Malik, Kabul has asked Pakistan to replace APTTA with a new agreement.

Above all, the letter says the new agreement should adjust bilateral relations between the two countries to the rules of multilateral trading system of which both of them are members. In response to the said letter, Pakistan responded on December 20 in a letter written by secretary Commerce Mr Younas Dagha addressed to Kamila Siddqui saying that Afghan Minister Humayun Rasaw and she have been invited to ECO-ministerial conference to be held in Pakistan on 23-24 January and on the side line of the ECO ministerial meeting.

The official said that the argument of abandoning the APPTA by Kabul carries no weight as in 2015, this agreement got renewed up to 2020 as automatic renew clause already included in the agreement signed in 2010.

A top official said that Afghan Transit Trade through Pakistan has increased from US $2.550 billion in 2014-15 to US $3.350 billion in 2015-16 and according to Pakistan Bureau of Statistics, in 2009-10, 75,288 containers reached Afghanistan under APTTA by using Pakistan’s road network. And in 2010-11, 56,203 containers, in 2011-12, 27,927 cargoes, in 2012-13, 27,401 cargoes, in 2013-14, 36,274 containers, in 2014-15, 49,507, in 2015-16, 61,629 containers and in 2016-17 (upto March 3, 2017), 37,673 containers used Pakistan infrastructure to enter into Afghanistan, but in return Pakistan has so far got nothing against the usage of the road network.