Pakistan and Iran have reached an understanding to finalize a Free Trade Agreement (FTA) and establish border markets to enhance bilateral trade, Pakistan’s Commerce Minister Jam Kamal Khan stated during his official visit to Iran. Both countries are in the process of finalizing the list of products to be included in the FTA, with the goal of increasing trade volume and deepening economic relations.
Khan arrived in Tehran on Sunday for a three-day visit to participate in the 22nd session of the Pakistan-Iran Joint Economic Commission (JEC).
Pakistan and Iran aim to boost the bilateral trade volume to $10 billion, up from the current level of approximately $3 billion. During a meeting with Kamal Khan, the Iranian Minister Seyyed Muhammad Atabak noted that frequent high-level exchanges between the two countries demonstrate Tehran’s trust in Pakistan and a mutual determination to meet the $10 billion trade goal.
Khan further detailed a range of current and upcoming initiatives aimed at transforming trade relations between the nations. These include 17 new protocols under discussion, addressing areas such as banking facilitation, logistics, shipping, aviation, free trade zones, advanced manufacturing, agriculture, and investment promotion.
The two ministers explored ways to enhance road and rail connectivity, upgrade port infrastructure, and introduce barter trade as a means to facilitate smoother cross-border transactions. The Joint Economic Commission (JEC) is set to convene tomorrow to outline steps for eliminating trade barriers.
In recent months, Pakistan and Iran have intensified efforts to boost bilateral trade. During Iranian President Dr. Masoud Pezeshkian’s visit to Pakistan last month, the two nations signed 12 agreements and memoranda of understanding to strengthen cooperation across various sectors.
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