Faiza Tehseen

Introduction of smooth trade conditions and easy tariffs is necessary to unlock the mutual economic potential of Pakistan and Tajikistan, opined Zulfiqar Ahmed, head of the Media and Communication Wing of Rawalpindi Chamber of Commerce and Industry (RCCI), while talking to WealthPK.

He said, “The relationship between Pakistan and Tajikistan has grown stronger over the years, presenting immense opportunities for bilateral trade. As neighbors and members of the Central and South Asian region, both countries are uniquely positioned to harness the advantages of their geographical, cultural, and economic ties. Tajikistan serves as a link to Central Asia, while Pakistan is a natural gateway to South Asia, the Middle East, and beyond.” Development of transport corridors, such as the China-Pakistan Economic Corridor (CPEC), can amplify the trade potential. Pakistan offers agricultural goods, textiles, and pharmaceuticals, while Tajikistan is rich in hydropower, aluminum, and cotton. Exploring joint ventures in these sectors can lead to win-win partnerships.

Zulfiqar said, “The CASA-1000 project is a testament to collaboration, providing surplus hydropower from Central Asia to South Asia. Expansion in energy trade can secure long-term economic growth for both nations. Simplifying border regulations, trade facilitation, flexible trade policies, investment incentives, and streamlining logistics for better trade flow through easy trade agreements are also necessary.” He said collaborations between the two countries through innovation to modernize economies will also strengthen the trade ties. As a leading business body, the Rawalpindi Chamber of Commerce and Industry (RCCI) is committed to fostering deeper ties between the two countries by organizing trade delegations, advocating policy alignment, promoting joint investment forums, supporting small and medium enterprises (SME) collaboration and facilitating regular business-to-business (B2B) meetings.

By doing so, the pathway to a shared prosperity can be paved. Strengthening mutual trade relations offers a roadmap for economic growth, regional stability, and prosperity. With the RCCI leading the way, these ties can create a more interconnected, resilient, and thriving economic region. Together, a brighter future can be built for the two nations, added Zulfiqar. Talking to WealthPK, Nazir Hussain, President of Pakistan China Joint Chamber of Commerce and Industry (PCJCCI), said, “There is a dire need to tap the potential sectors for import and export between Pakistan and Tajikistan. Increased bilateral trade can stimulate bilateral economic development. Pakistan should establish a direct trade route with Tajikistan.

The development of a road infrastructure for Central Asian countries by utilizing the corridors of China and Afghanistan will also support business activities in the country. Tajikistan, on its part, is a keen BRI participant for a cumulative outcome for better economic integration and trade boost.” Bilateral trade will be beneficial because both the countries are developing and are rich in natural resources. Pakistan can benefit by exporting worn clothing to Tajikistan, where its demand is very high. To capture the Tajik market and to compete with the other countries in this market, Pakistan needs to negotiate a 15% commodity tariff.

According to the United Nations COMTRADE database on international trade, the trade volume between Pakistan and Tajikistan in 2023 was US$32.81 million. It is far beyond the true potential and can be increased. The policymakers in Pakistan must focus on it and develop policies for better business ties.

Credit: INP-WealthPk