Daily Times

LAHORE: Iranian Consul General Muhammad Hossein Bani Assadi said on Wednesday Iran is ready to start barter trade with Pakistan to facilitate the businessmen and to jack up the volume of two-way trade.

The federal government has been urged to expedite work on Free Trade Agreement with Iran, as the two countries have huge potential to touch the staggering trade figure of $10 billion. The issued was raised during Iranian consul general’s meeting with the business community at Lahore Chamber of Commerce & Industry on Wednesday. LCCI President Ijaz A Mumtaz, former presidents Bashir A Baksh, Syed Mohsin Raza Bukhari, Mian Misbahur Rehman, Mian Muzaffar Ali, former vice president Aftab Ahmed Vohra and Executive Committee members were present on the occasion. Iranian Consul General Muhammad Hossein Bani Assadi said that Pakistan and Iran have the potential to cater to each other’s needs, provided the businessmen have opportunities.He said that the business community in the two countries would have to increase interaction to share their experiences in the larger interests of the people of two brotherly nations. The volume of mutual trade between Pakistan and Iran does not match their respective potentials, he said, adding that chambers of commerce in the two countries would have to focus on expansion of trade by holding single country exhibitions and through trade delegations to each other’s country.

Assadi said that dissemination of sector-specific and trade-related information would go a long way in achieving the goal. Both the countries should share their experiences in the field of science and technology also. He said that agriculture, tourism and metal industry of Iran have opportunities of investment, therefore, Pakistani business community should come forward. LCCI President Ijaz A Mumtaz said that Iranian Foreign Minister Dr Mohammad Javad Zarif has proved his credentials by successfully negotiating a difficult deal with the US regarding lifting of economic sanctions. It will open new avenues of trade for Iran in international market.

The LCCI president hoped that Iranian trade planners would show the same foresight to ensure greater role to be played by Iran particularly in regional trade. He said that it is a proven fact that the economic prosperity lies in integration with neighbouring countries. Pakistan is eagerly looking forward to expanding trade relations with Iran. “It should be a matter of concern for both sides that in 2014, the volume of bilateral trade has decreased to $229 million, which is a record low in this decade. “In 2009 and 2008, our two-way trade was as high as $1.21 billion and $1.16 billion, respectively,” Mumtaz noted.He said that although imports from Iran to Pakistan are increasing, but Pakistan’s exports to Iran are constantly dropping. For example, Pakistan exported goods to Iran to the tune of $142 million in 2012, which dipped to $43 million in 2014. In contrast to that Pakistan imports from Iran in 2012 were $120 million which inched up to $186 million in 2014. He stressed the need to find ways to increase the volume of two way trade. He said that Pakistan is already exporting meat to Iran. Dairy sector can be another area to be explored for this purpose.

Mumtaz said that the potential of two-way trade between Pakistan and Iran is estimated to be over $2 billion but it can only be materialised by making all-out efforts. He said that the two countries’ governments and respective private sectors should collaborate with each other on regular basis. He hoped that work on Pak-Iran gas pipeline project will be expedited. It will not only play a significant role in addressing the energy crisis of Pakistan but augment the trade relations between the two countries. Import of electricity from Iran can also be a good venture, he stated.