Pakistan, Iran agree to boost bilateral trade to $10 billion

Pakistan and Iran have reaffirmed their commitment to significantly strengthen economic cooperation by increasing bilateral trade to $10 billion

ISLAMABAD: Pakistan and Iran have reaffirmed their commitment to significantly strengthen economic cooperation by increasing bilateral trade to $10 billion and accelerating efforts to finalize a long-awaited Free Trade Agreement (FTA).

The understanding was reached during the 10th meeting of the Pakistan-Iran Joint Trade Committee, held in Islamabad on Tuesday. The session was jointly chaired by Federal Minister for Commerce Jam Kamal Khan and Iranian Minister for Industry, Mine and Trade Dr. Mohammad Atabak, with senior officials from both countries participating in discussions aimed at expanding trade and investment ties.

During the meeting, both sides reviewed the current state of bilateral trade and explored practical measures to unlock its full potential. The two countries agreed that stronger economic integration, improved connectivity, and enhanced cross-border cooperation are essential for achieving the ambitious trade target of $10 billion.

Speaking on the occasion, Commerce Minister Jam Kamal said Pakistan and Iran enjoy longstanding historical, cultural, and religious ties, but stressed that these relations should now be translated into a robust economic partnership. He emphasized that expanding trade and investment would bring mutual economic benefits and contribute to regional prosperity.

The minister underscored the importance of completing the Pakistan-Iran Free Trade Agreement at the earliest opportunity, describing it as a key step toward facilitating commerce between the neighboring countries. He also called for the removal of bottlenecks affecting border logistics, customs procedures, and cargo movement to ensure smoother and faster trade flows.

Jam Kamal noted that bilateral trade could be further enhanced through the development of joint border markets, greater use of electronic data interchange systems, and closer coordination between relevant government agencies. He said modernizing trade infrastructure and simplifying customs procedures would help businesses on both sides benefit from increased commercial activity.

The Joint Trade Committee also agreed to formulate a practical roadmap aimed at strengthening economic cooperation across multiple sectors. The roadmap will focus on trade facilitation, infrastructure development, logistics, and investment opportunities while encouraging closer collaboration between the public and private sectors.

Iranian Minister Dr. Mohammad Atabak described Pakistan as one of Iran’s key long-term strategic trade partners and expressed confidence that bilateral economic relations could expand considerably in the coming years. He highlighted the importance of increasing regional trade and logistics cooperation, particularly by utilizing Pakistan’s Karachi and Gwadar ports to improve connectivity and facilitate the movement of goods.

Dr. Atabak also voiced optimism about the early conclusion of the Pakistan-Iran Free Trade Agreement, saying it would create new opportunities for businesses in both countries. He added that cooperation in electricity trade, transport networks, and regional connectivity projects could open new avenues for economic growth and strengthen commercial links across the region.