Pakistan and Iran agree on promoting barter trade system
- During the two-day Joint Trade Committee meetings, Pakistan and Iran decided to form a committee to identify goods in order to promote barter trade.
- The Iranian delegation held very beneficial discussions with Pakistani officials, including Prime Minister Imran Khan.
- Both countries agreed to remove barriers that have made Pak-Iran Preferential Trade Agreement unsuccessful.
Pakistan and Iran agreed on the need to constitute a committee to identify goods in order to promote barter trade.
The decision has been taken at the concluding session of the 8th Pakistan-Iran Joint Trade Committee.
The Pakistani delegation was led by Prime Minister’s Adviser on Commerce Razak Dawood. The Iranian delegation was led by Minister for Industries, Mine and Trade Reza Rahmani.
During the two-day Joint Trade Committee meetings, both sides had constructive discussions on strengthening economic cooperation and barter trade.
The Iranian delegation had very beneficial discussions with Pakistani officials, including Prime Minister Imran Khan on the promotion of bilateral trade. It also had a constructive meeting with the Federation of Pakistan Chambers of Commerce and Industry (FPCCI).
Iran also showed its keen interest in import of 500,000tonne rice from Pakistan. It urged that a necessary mechanism for early shipment must be devised and extended its full support to work on the removal of potential bottlenecks to increase trade.
In order to improve trade, the two countries should select a few items having a competitive advantage and in this way, Pakistan can enhance exports of wheat, sugar and rice and fruit to Iran.
Iranian side requested the Pakistani government to open more border points which will further enhance bilateral trade.
Prime Minister’s Adviser suggested the removal of various taxation measures such as road and loads taxes on vehicles that are crossing the borders to facilitate trade.
The Adviser promised to establish a dedicated desk at the Trade Development Authority of Pakistan in Islamabad.
Both sides agreed to resolve issues including removing barriers that have made Pak-Iran Preferential Trade Agreement (signed in 2006) ineffective.