Foreign Secy’s Pakistan visit raises hopes of traders

CHANDIGARH: With Foreign Secretary S Jaishankar travelling to Islamabad on March 3 for a two-day visit to hold a bilateral meeting with his counterpart and other officials in that country, there is an expectation that India will take up the issue of increase in trade between the two countries via Wagah land route and opening of more land routes for the purpose.

Sarbjit Dhaliwal

Tribune News Service

Chandigarh, February 27

With Foreign Secretary S Jaishankar travelling to Islamabad on March 3 for a two-day visit to hold a bilateral meeting with his counterpart and other officials in that country, there is an expectation that India will take up the issue of increase in trade between the two countries via Wagah land route and opening of more land routes for the purpose.

Several factors such as non-tariff barriers (NTBs) have impeded the growth of trade via land route. With the removal of non-tariff barriers, there can be a quantum leap in the trade between the two countries.

Expert on Indo-Pak trade and CRRID Director-General Prof Sucha Singh Gill said there was immense scope to increase trade between the two countries. “As of now, the imports were limited to only 137 items via Wagah route. On the other hand, Pakistan has put 1,209 items on the negative list. These items cannot be exported to Pakistan via this land route. However, these can be sent to that country via Mumbai-Karachi sea route,” he said.

Many banned items such as bicycles, tyres, tubes, textile items etc. can be exported from Ludhiana through this route. There is a scope to increase the trade between the two countries from existing the $2.5 billion to $30 billon in a short span of time.

He said, “I will say that all items that can be sent to Pakistan via the sea route should also be sent via the Wagah land route. Likewise, all items that can be imported from Pakistan via the sea route should also be allowed to be brought via the Wagah route.” He has prepared a note after a detailed study at CRRID for the consideration of the policy-makers on trade between India and Pakistan.

To further cut down the transport cost and avoid rush at Wagah, more land routes such as Hussainiwala (Ferozepur) and Ganda Singh Wala (Kasur-Pakistan), Khalra and Lahore, Fazilka-Sahiwal, Khemkaran-Kasur, Jammu-Sialkot should be opened, he said. The trade across the LoC in Jammu and Kashmir was confined to 21 items only. It should be expanded. There was a large scope to export tea, textiles, yarn, cotton, sugar, silk, wheat flour, vegetables etc. to Pakistan, he added.

Full truck body scanners should be immediately installed at the Wagah integrated check post to avoid delay and harassment of traders, more branches of Indian banks should be opened in Pakistan and vice versa and a strict watch should be kept on unfair means, including under-invoicing. Bodies of traders should be set up to resolve trade disputes at mutual level. There should be regular meeting between Indian and Pakistan traders at the border check post to settle their accounts, electronic media portals should be developed to provide useful information about commodities and their rates and availability in the two countries.

President of the Cement Importers Association MPS Chatha said, “We are hopeful that during the visit, our Foreign Secretary will focus on the issue of trade via the Wagah land route and ask Pakistan to allow import of more items via this route.