NEW DELHI: India and Pakistan will take another step towards deepening trade and economic relations when the commerce ministers of two countries meet later this week and officials say New Delhi will examine the issue of preferential access for Pakistani products such as cement and textiles . The two neighbours are also expected to discuss the issue of electricity trade between Pakistan and India.
According to officials, the two sides will discuss the report of the expert group on the issue and concrete steps are expected to be outlined. “Arrangements for electricity trade have been more or less finalised ,” said an official, while adding that discussions are still on for setting the terms for petroleum products trade. Both sides will also discuss the issue of easing visa rules for business travel, though a decision is to be taken up by the home ministry and interior ministry of Pakistan.
The issue figured in the talks between Manmohan Singh and Pakistan President Asif Ali Zardari, when the two leaders met over lunch on Sunday . An agreement on the visa issue is also likely soon. The two countries will also open up the second gate at the Attari-Wagah border and inaugurate a “Made in Pakistan” show in the New Delhi later this week.
The Pakistan commerce minister’s visit comes days after the visit of Zardari. Commerce , industry and textile minister Anand Sharma and his Pakistani counterpart Makhdoom Mohammad Amin Fahim will inaugurate the second gate the Attari-Wagah border , which is expected to boost trade between the two nuclear armed neighbours and raise the number of trucks crossing the border to 500-600 from the current 100-150 .
The Indian government has spent nearly Rs 150 crore to create infrastructure to help sustain the fresh wave of trade. Officials said that home minister P Chidambaram would inaugurate the integrated check post on April 13. The two sides have also outlined their desire to open up another trade route at Munabao-Khokrapar route and have set up a joint working group to examine the feasibility of this new trading point.
Over 120 designers, businessmen and other officials including Pakistan’s commerce secretary Zafar Mahmood are accompanying Fahim. The commerce minister of Pakistan will inaugurate a “lifestyle show” at Pragati Maidan in the national capital, similar to the “Made in India” show held in Lahore and Karachi.
Sharma led one of the largest business delegations to Pakistan in February – the first-ever bilateral visit by an Indian trade minister. Last month, Pakistan moved closer to granting the most favoured nation status to India by switching to a system of “negative lists” that will restrict the import of around 1,200 items from India, compared to the earlier list of 1,900 products.
Islamabad has committed to bury the negative list by the end of this year and move to a regime that is in line with WTO rules. India granted MFN status to Pakistan in 1996 but Islamabad agreed to a time-frame of granting MFN status to only India during Sharma’s visit.