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Pakistani negotiators are compromising the interests of domestic industry in talks with Afghanistan on Washington-pushed Afghanistan-Pakistan Transit Trade Agreement (APTTA), official insiders and industry sources told Business Recorder. However, Islamabad has refused to allow free trade between Kabul and New Delhi due to security reasons.
The sources said the much talked about APTTA is expected to be signed on Saturday (today) or Sunday (tomorrow) before the visit of US Secretary of State, Hillary Clinton, who played a key role in initiation of talks on the new pact. She had given the deadline of November 30, 2009 to Pakistan to ink the agreement but GoP slowed the process on the pretext that it was not possible to finalise the agreement without consultation with the private sector. An Afghan official who is part of the negotiations told an official of Commerce Ministry that the pact must be signed before Hillary Clinton''s visit to the region.
The 7th round of Pak-Afghan Joint Working Group (JWG) on APTTA started in Islamabad on Friday. Federal Minister for Commerce Makhdoom Amin Fahim and his Afghan counterpart Anwar ul Haq Ahadi jointly inaugurated the session. In his welcome statement Amin Fahim welcomed the delegation and expressed the hope that both the delegations would take advantage of this occasion and their efforts would prove productive for the benefit of the people of both the countries. Afghanistan is an important trading partner of Pakistan and bilateral trade has grown from $170 million in 2000-01 to US $1.491 billion in 2008-09, he added.
Afghan Transit trade through Pakistan has increased from $161 million in 2000 to $1.073 billion in 2009, he further stated. According to the Minister, transit trade agreement signed between the two countries in 1965 has served both countries well. In view of expansion of global trade, both the countries felt the need for an up-dated and improved transit trade agreement, he continued.
He said substantial progress has been made so far in six rounds of talks of the JWG and commitment and determination of both the sides would achieve its objectives Anwar Ul Haq Ahadi, Minister for Trade and Industries of Afghanistan, stated that regional co-operation was a must for regional peace and stability. He stated that Afghanistan''s economy was integrated with Pakistan''s economy, and further co-operation could give it a positive impetus. The talks would continue tomorrow. Official sources confirmed that the body language of both sides was very positive and there is 90 percent chance of an agreement in a day or two.
Another official, however, was of the view that "things are not moving" as per expectations and resistance is being shown by both sides on outstanding issues which include unauthorised trade (smuggling) and transit facility to Indian goods for Afghanistan. "We are expecting that final shape will be given to the revised agreement," he maintained. The official further stated that the concerned security institutions are monitoring the talks very carefully.

Copyright Business Recorder, 2010

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