Pakistan to restore trade ties with India? Foreign Minister says ’most traders want ...’

Pakistan to 'seriously' consider restoring trade ties with India: Foreign Minister Dar

Livemint (with inputs from PTI)
First Published25 Mar 2024
Indian soldiers (wearing red hats) and Pakistani soldiers prepare to lower their flags during the nightly border closing ceremony at the India-Pakistan joint Wagah border check post in the northern Indian state of Punjab January 5, 2004. The leaders of India and Pakistan met on Monday for the first time in more than two years and pledged to continue efforts to repair relations after their nuclear-armed countries went to the brink of war in 2002. REUTERS/Munish Sharma
Indian soldiers (wearing red hats) and Pakistani soldiers prepare to lower their flags during the nightly border closing ceremony at the India-Pakistan joint Wagah border check post in the northern Indian state of Punjab January 5, 2004. The leaders of India and Pakistan met on Monday for the first time in more than two years and pledged to continue efforts to repair relations after their nuclear-armed countries went to the brink of war in 2002. REUTERS/Munish Sharma

Pakistan's Foreign Minister, Muhammad Ishaq Dar, has expressed a serious intent to reevaluate the suspended trade relations with India, which have been inactive since August 2019. This potential shift in diplomatic stance towards the neighboring nation was hinted at by Dar during a press conference in London, held after his participation in the Nuclear Energy Summit in Brussels, as reported by Geo News.

Dar made remarks during a press conference that Pakistan's financially strained business community to recommence trade operations with India.

"Pakistani businessmen want trade with India to resume,” the foreign minister said on Saturday.

Pakistan will consider restoring trade ties with India, he said.

"We will seriously look into matters of trade with India,” Dar was quoted as saying by the Express Tribune newspaper.

His remarks indicated a potential shift in diplomatic stance towards India.

Pakistan reduced its diplomatic relations with New Delhi following India's decision to abolish Article 370 of its Constitution, which removed the special status of Jammu and Kashmir and divided the state into two Union Territories. Islamabad argued that this action hindered the prospects of bilateral talks.

According to The Express Tribune newspaper, the prospect of trade between Pakistan and India remains uncertain due to a lack of consensus among stakeholders regarding the restoration of trade relations. Sources familiar with the matter stated that there is currently no definite proposal for resuming trade ties between the two countries.

Reports suggest that there are conflicting opinions among stakeholders on this matter, including within the Foreign Office, which sources claim is not uncommon.

Some advocate maintaining Pakistan's stance that without significant concessions from India, normalization should not occur.

Yet, others adopt a more practical perspective, drawing parallels with China's approach. Despite uneasy ties and border disputes, China and India engage in trade, suggesting the possibility of a similar model for Pakistan.

Former army chief Gen (retd) Qamar Javed Bajwa expressed interest in improving ties with India, but his successor's stance remains unclear. Speculation exists that Dar's statement on resuming ties might be endorsed by influential figures. Proponents of trade resumption believe it could alleviate Pakistan's economic woes through regional trade.

An international financial institution's study highlights the substantial trade potential between Pakistan and India, estimated at over $25 billion.

Official sources remain skeptical, with the Foreign Office suggesting waiting until after the Indian elections scheduled for April and May. A clearer picture may emerge once a new government is in place in New Delhi.

Pakistan insists that improving ties rests on India, urging it to reverse its "unilateral" actions in Kashmir as a precondition for talks. India rejects this, asserting Jammu and Kashmir and Ladakh as integral parts of the country, with internal matters.

India desires neighborly relations with Pakistan but emphasizes Islamabad's responsibility to foster a terror-free environment for engagement.

Despite strained relations, both countries agreed to renew the 2003 ceasefire along the Line of Control (LoC) in February 2021.

Recently, Prime Minister Narendra Modi extended congratulations to Shehbaz Sharif via social media, raising hopes for diplomatic progress.

Several days later, Sharif issued a brief response, acknowledging Modi's "felicitations."

Following the February 8 elections, the coalition government led by Sharif assumed power. However, it commenced its tenure amidst a faltering economy that urgently requires improvement.

(With inputs from PTI)

Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.MoreLess
HomeNewsworldPakistan to restore trade ties with India? Foreign Minister says ’most traders want ...’

Most Active Stocks

Indus Towers

334.00
10:29 AM | 19 JUN 2024
-9.9 (-2.88%)

Bharat Electronics

309.30
10:26 AM | 19 JUN 2024
-8.95 (-2.81%)

HDFC Bank

1,658.00
10:24 AM | 19 JUN 2024
49.25 (3.06%)

Tata Steel

180.05
10:25 AM | 19 JUN 2024
-1.1 (-0.61%)
More Active Stocks

Market Snapshot

  • Top Gainers
  • Top Losers
  • 52 Week High

Alok Industries

29.50
10:27 AM | 19 JUN 2024
2.15 (7.86%)

Jubilant Ingrevia

554.95
10:16 AM | 19 JUN 2024
39.85 (7.74%)

Triveni Engineering & Indus

413.75
10:29 AM | 19 JUN 2024
28.85 (7.5%)

Shree Renuka Sugars

51.22
10:29 AM | 19 JUN 2024
3.47 (7.27%)
More from Top Gainers

Recommended For You

    More Recommendations

    Gold Prices

    • 24K
    • 22K
    Bangalore
    73,281.00-238.00
    Chennai
    72,711.00-1,095.00
    Delhi
    73,495.00-24.00
    Kolkata
    73,566.00191.00

    Fuel Price

    • Petrol
    • Diesel
    Bangalore
    102.86/L0.00
    Chennai
    100.75/L0.00
    Kolkata
    103.94/L0.00
    New Delhi
    94.72/L0.00
    OPEN IN APP
    HomeMarketsPremiumInstant LoanGet App