LAHORE, July 28(ABC): The volume of bilateral trade between Pakistan and Iran can comfortably swell from existing level of $Ibn to $5bn annually if potentials of either sides are fully exploited, said Meher Kashif Younis, Coordinator to Federal Tax Obdusman.
It was stated here on Thursday while talking to delegation of Gold Ring Economic Forum think tank led by it’s President Hasnain Raza Mirza.
He said in good old days, major chunk of entire global economic system was based on barter trade which has now been replaced with sophisticated forms, however, barter trade still exists of its archaic form in the world today.
He said pak trade ministry couple of months ago laid down the procedure and parameters for barter trade between both countries by simplifying cumbersome formalities.
Briefly tracing history, he said a preferential trade agreement was
inked between either sides in 2006 which could not be materialised due to US sanctions.
He said still the mutual trade doesn’t match their respective potentials.
Private sector of both countries through frequent exchange of visits can meet mutual needs by exploring the investment avenues, he stressed, the urgent need of removal of tariff and non tariff barriers to boost the flow of bilateral trade in various sectors of cooperation through air, road, land but unfortunately none of these modes of transportation were fully utilised economically as yet.
Meher Kashif suggested the slashing customs duty on Iranian goods to check the menace of smuggling and both sides are resources rich countries and there is a lot of scope to further cementing economic relations through active participation of private sectors.
He further suggested that Pakistan-Iran-Turkey can form an unprecedented market for their products by engaging in barter trade.