Pakistan and Iran Set $8 Billion Trade Target
Pakistan and Iran have agreed to significantly expand their bilateral trade, setting a new annual target of USD 8 billion. The decision was reached during Iranian President Masoud Pezeshkian’s official visit to Pakistan, where he met Prime Minister Shehbaz Sharif and top Pakistani officials.
Trade Ministers Reach New Understanding
Pakistan’s Commerce Minister Jam Kamal Khan and Iran’s Trade Minister Mohammad Atabak led the discussions that outlined the framework for the new trade objective. Both ministers emphasized the strategic benefit of geographic closeness, referring to it as the “discount of distance,” which they believe will reduce transportation costs and time.
Focus on Key Sectors
The agreement includes a push to formalize informal trade and expand cooperation in energy, agriculture, livestock, transport, and services. A number of cross-border challenges were discussed, with both sides agreeing to streamline customs processes and improve infrastructure at key trade points.
Long-Term Goal of $10 Billion
While the immediate goal is USD 8 billion, both nations have also expressed interest in working towards a longer-term target of USD 10 billion in bilateral trade. To support this, joint business-to-business engagements and sector-specific delegations will be initiated.
Strategic Regional Impact
Observers say that stronger trade ties between Iran and Pakistan could potentially open up new trade routes across Central and West Asia. This could lead to deeper regional integration and may eventually support the development of a broader economic corridor that includes Turkey, Russia, and Central Asia.
