Trade between India and Pakistan should reach 10 billion USD in the next 5-6 years, said Mr. Suleman Ghani, Commerce Secretary of Pakistan at an interactive session organized by PHD Chamber today. At present the Indo-Pak bilateral trade is at 2 billion USD.

“If you look at it (Indo-Pak trade) in three years it went from 300 million USD to 2 billion USD at present. If we resume the dialogue and were to start trade and give it the platform it needs, it should not take more than 5 to 6 years to reach the figure of 10 billion”, said Mr. Ghani.

On the issue of border trade Mr. Ghani said, “There is a genuine desire between both sides to increase trade but baggage of the past is hindering trade.  With over 160 million people in Pakistan there is a huge potential and it will also generate employment opportunities”. He further added that trade dynamics could over come the political hindrances because of bigger stakes involved.  Trade bodies can also help in increasing bilateral trade.  Composite dialogue should start and it should be front loaded.  

Opening of trade should be like looking at different markets for exports. At present the items imported from India into Pakistan are as per a positive list.  Though this is a long list but large numbers of these are never traded. Indian side wants Pakistan to have only a negative list of items and open all other items for trade between the two countries. Mr. Ghani said that this was definitely worth considering once the composite trade dialogue starts.

Replying to a query by a member on Common pricing of Basmati rice, Mr. Ghani wanted the exporters from both the countries to exchange notes with the help of the associations. “The system will definitely help” added Mr. Ghani.  Both India and Pakistan are exporters of Basmati rice but the prices vary.

Mr. P K Jain, Chairman, Indo-Pak Task Force, PHD Chamber said that on account of communication gap, businessmen from both sides are not aware of the vast potential for business cooperation.   He also said that despite existing vast opportunities, it is unfortunate that economic cooperation between India and Pakistan continues to be restricted to bilateral trade.

Mr. Jain emphasized that there is a need to set up joint ventures as this would lead to permanency in economic relations between the two countries.