However, Afghanistan has not yet made up its mind to start negotiations on Preferential Trade Agreement (PTA), the draft of which is lying with the Afghan National Security Advisor for clearance for the last two years. Afghanistan's trade and security policies are massively influenced by New Delhi through its Advisors. The source said Pakistani Ambassador has held a very constructive meeting with Afghan Commerce Minister in which the Minister highlighted that Afghan-Pakistan trade has been affected due to unpredictability at Karachi port and on Chaman and Torkham due to which Afghan traders have been forced to develop other markets both for transit and bilateral trade including Iran, China and Tajikistan, (Tajikistan is competing with cement exporters of Pakistan).
According to sources, Afghan Commerce Minister, also emphasized that the Afghan government wants separation of political and economic issues and that it is very keen that Pakistan allows them to trade through Wagha border. Ambassador maintained that for understandable reasons, if Afghanistan cannot trade with India through Wagha which he has conveyed to Afghan Commerce Minister as it is an intricate issue, even then they are willing to proceed with Pakistan on bilateral basis. Pakistan, sources said, has conveyed to Kabul that it is ready to further shorten the negative list to facilitate transit trade through our ports. Pakistan's exports to Afghanistan have declined massively due to souring relations between the two countries.
After detailed meeting, Pakistan ambassador to Afghanistan suggested to Islamabad that 7th meeting of APTTCA which was to be held in March 2016 may be held in the 3rd week of August 2017. However, the date will depend on the convenience of the Minister keeping in mind that Thursday and Friday are closed holidays in Kabul. According to the ambassador, he has shared a copy of Preferential Trade Agreement (PTA) draft which was given to the Afghan side in the Joint Economic Commission (JEC) meeting in November 2015 and the Afghan Minister agreed to study it and give his response in due course. Pakistan's ambassador also observed that unpredictability on borders had damaged traders' confidence, suggesting that this must be addressed forthwith through appropriate arrangements by the government of Pakistan.
Commerce Minister argued that the effects of Pak-India relations are also being seen on Pak -Afghanistan relations despite the fact that Pakistan extended substantial trade concessions to Afghanistan from April 2015. This implies that Afghanistan once again is playing into Indian hands. Commerce Minister said that there would be no change in trade regime with India as Pakistan has serious security concerns on opening of Wagha border for Afghan trucks. A couple of months ago both sides had expressed willingness to resume trade as soon as possible; Commerce Minister conveyed to a delegation of Pakistan Afghanistan Joint Chamber of Commerce and Industry (PAJCCI) that better sense should have prevailed on the other side of the border.
According to the Minister use of transit trade has declined which is evident from the fact that complaints this year are less compared to previous years. He said Pakistan Railways has been requested to review transport fares for goods destined for Afghanistan.
Copyright Business Recorder, 2017