ISLAMABAD: Pakistan and Iran have agreed to further expand trade, border and mutual trust-based partnership to promote bilateral economic cooperation.
Federal Minister for Commerce Jam Kamal Khan met with Iranian Minister for Industry, Mining and Trade Mohammad Atabak in Islamabad, in which this development came to light.
The meeting came on the occasion of Iranian President Masoud Peshmerga’s two-day official visit to Pakistan. In high-level talks, the two ministers stressed on promoting trade, eliminating border barriers and identifying new avenues for reliable cooperation in priority sectors.
Iranian Minister Mohammad Atabak, while appreciating the active role of the Pakistani government and the Ministry of Commerce, said that if it were not for the urgent and serious efforts of you and your team, we would not have reached this point. Now it is necessary to mold this progress into a systematic and fruitful trade structure.
Federal Minister Jam Kamal Khan also expressed the same sentiment, saying that there is a lot of determination and passion in both governments and the private sector, there comes a moment in diplomacy when the iron is hot and this is that moment. We have to act immediately because delay only complicates matters.
He stressed that only after passion and political commitment come formal steps, and Pakistan is ready to further strengthen economic relations with Iran through Joint Economic Commission (JEC), Business-to-Business (B2B) meetings and sectoral trade delegations.
The two ministers identified specific sectors such as agriculture, animal husbandry, services, energy and cross-border logistics as important for mutual cooperation.
Jam Kamal Khan suggested that focused trade delegations consisting of representatives of federal and provincial chambers of commerce and industry be formed to facilitate detailed discussions on market access and regulations. We have successfully tested this model in several countries including Belarus. It should also be tested with Iran in the same sectors where there is the most potential.
The two ministers also agreed on maximum use of existing trade corridors and border facilities.
Highlighting the importance of regional trade, Jam Kamal Khan said that how ASEAN countries have progressed through trade with their neighbors is a blessing. Pakistan and Iran should take advantage of this reduced distance. If we miss this opportunity, both time and cost will be lost.
He predicted that if both countries fully utilize their potential, mutual trade could reach $5 to $8 billion annually in the next few years. He said that the trade partnership between Iran and Pakistan could expand to Turkey, Central Asia, Russia and the Middle East and turn into a large and powerful regional trade bloc.
Iranian Minister Mohammad Atabak supported the proposal to allocate a special B2B day during each high-level visit and said that he was ready to bring business delegations from Iran to Pakistan.
He mentioned the ongoing negotiations to increase Pakistani exports and urged both governments to ensure the implementation of new agreements as soon as possible. The businessmen and industrialists of both countries are ready, they trust each other, now they only need a clear and continuous facilitation system from us.
In the talks, both sides also emphasized that the cultural and linguistic harmony between the people of Pakistan and Iran is the foundation of mutual relations.
Jam Kamal Khan, referring to a recent meeting with the CEO of the Special Economic Free Zone, said that he spoke in Balochi, which reflects the deep ties between the two countries and it is not just a matter of trade, but of people-to-people contacts. The familiarity and trust that exists between our businessmen can become the strongest foundation for sustainable economic integration.
In the meeting, the two ministers agreed to hold the next meeting of the Pakistan-Iran Joint Economic Commission at an accelerated pace, ensure the involvement of the public and private sectors, and give top priority to border cooperation and trade logistics.
The general message of the meeting was: Now is the time for action. With high political coordination and mutual trust, Pakistan and Iran now appear ready to enter a new era of strategic economic partnership that can change the trade landscape of the entire region.