afghanistan-centralasia

Af-Pak accord on truck movement

The latest Af-Pak accord on truck movement is loaded in favour of Pakistan. It makes Pakistani goods and products rather cheap in the Central Asian markets.  There are no commensurate gains to Afghanistan.

The accord hammered at the fourth round of transit trade talks in Kabul mid December, however, doesn’t concede Afghanistan’s case for receiving Indian goods by road. It is a minor irritant and will be addressed as and when we resume composite dialogue with India, Shahid Bashir, Senior Joint Secretary, Commerce, who led Pak delegation to the talks said later.   

The India-Pak composite dialogue is presently stalled. Delhi broke of the talks after 26/11 terrorist mayhem in Mumbai and is insisting on Pakistan bringing the perpetrators of the crime to book as the first step to resume dialogue.

Under the Dec accord, Afghanistan and Pakistan have agreed to allow trucks to move freely in each other’s territory.   Afghan trucks would go upto Karachi port, while Pakistani trucks could move across Afghanistan towards Central Asia.

Bashir said Kabul has agreed to abolish 110 percent duty on Pakistani goods being transported to Central Asian Republics. ‘This will make our goods become more competitive in CAR’, he is quoted as saying in media despatches.  

The official did not quantify the gains but trade analysts expect the benefits to be substantial.

China is a major player in CAR markets. It has outsmarted Russian and American suppliers in a manner of speaking.  Pakistan hopes to make in roads into the growing market by working in tandem with its ‘all-weather friend’.

THIRD ENTRY-EXIT POINT
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Torkham and Chaman are the two exit points from Pakistan to Afghanistan. These two places also will be entry points.

There is a move to open a third entry-exit point at Ghulam Khan Kelay in Waziristan, according to Bashir but no time frame is being mentioned as of now.

Empty Afghan trucks would not be allowed beyond Peshawar. However, Afghanistan will have access to Wagha on the India-Pakistan border, which is the main transit point for trade between the two estranged neighbours.

This will enable Afghanistan to send its goods to India.  It will be allowed 60-70 trucks monthly for transporting goods to Wagha under the Af-Pak truck accord.

EMPTIES FROM WAGHA

The Afghan side wants the empty trucks returning from Wagha to Kabul to pick up Pakistani goods. But Pakistan Commerce Ministry has held out no promise. It is only willing to consider the request. ‘We did not give any commitment on this issue, but assured them of our consideration’, Bashir says.

Pakistan has identified five sensitive items – black tea, milk powder, tyres, electronic items (TV sets, refrigerators and air-conditioners) and fabric and garments of synthetic and artificial fibre.

From the Afghan side, the agreement said that the fertilisers, cotton textiles, medicines, marbles, plastic goods and cooking oil would be included in sensitive list.

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