Pak Afghan Trade Agreement

Uncategorized Dec 14

At the time of the 2015 study, there was tremendous pressure on the RBF to “facilitate” the transit rules agreed under the APTTA. FBR has been accused of transit transport and thus of Pakistan`s “influence” on the Afghan government and people. The 2015 PBC study showed that Pakistan remains the main transit route for Afghan imports – which account for 58% of Afghan trade – and that the decline in trade is rather due to the decline in Afghan imports in 2014. The Afghanistan-Pakistan Transit Trade Agreement (also known as APTTA) is a bilateral trade agreement signed by Pakistan and Afghanistan in 2010, which calls for greater facilitation of merchandise trade between the two countries. “Recent meetings between representatives of Afghanistan and Pakistan have paved the way for a solution to trade and trade issues between the two countries. We hope that all trade and trade issues between the two countries will soon be resolved,” said Naqibullah Fayeq, CEO of the Pakistan-Afghanistan Joint Chamber of Commerce. In early March 2016, the Afghan government reportedly responded to Pakistani requests to use Afghanistan as a corridor to Tajikistan, after abandoning requests for reciprocal access to India via Pakistan. [38] The revised transit trade agreement is expected to be signed by April 2016. [39] Currently, Pakistan`s trade with Afghanistan is less than $2 billion. If the discussions around the PTA are successful, we can assume that this figure is in excess of $5 billion. In addition, the two countries have been suspended from various types of financial assistance through debt relief and coronary relief agreements with countries around the world. It is therefore essential that both countries take advantage of this moment and that they benefit as much as possible from it. The Pakistani Embassy in Kabul said in a statement that the Agreement between Afghanistan and Pakistan on Transit Trade (APTTA) will expire in the coming months and that a revised agreement between the two countries is needed.

The APTTA agreement allows Afghan trucks to transport exports to India to the Wagah crossing point via Pakistan,[7][7] but does not offer Afghanistan the right to import Indian goods via Pakistani territory,[17] lest Indian goods end up on the Pakistani black market, as was the case in 1965 under the ATTA. Instead, Afghan trucks dumped in Wagah can return to Afghanistan, which are loaded only with Pakistani goods instead of Indian goods[18] to prevent the creation of a black market for Indian goods in Pakistan.

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