Tags:
Journalism of Courage
Indias trade with Pakistan amounts to around 2 billion by most estimates. Given that the two countries are neighbours,and each produces much that appeals to tastes and satisfies needs in the other,there is little doubt that this is far too low. Part of the problem,of course,is straightforward: restrictions and tariffs on imports. A start has been made on ending those restrictions,as Pakistans government has finally committed itself to normalising the legalities of trade with India. Yet,there is still much to do. Sustainable trade,after all,is far more complicated than just declaring it legal. It needs roads,minimal bureaucratic interference and the ability for traders to understand the regulatory provisions on the other side as well as to form relationships with contacts across the border.
News,therefore,that the home ministry and Pakistans interior ministry may have agreed on a liberalised visa regime for business travellers is very welcome indeed. Currently,visitors from Pakistan have their points of entry and exit restricted,are subject to continual police reporting requirements,and have stringent geographical limitations attached to their visas. For example,a visitor to Delhi might not be permitted to visit a corporate office in Gurgaon or a factory in Faridabad. This,as much as anything else,has held back the creation of the company-to-company connections required for well-functional trade links. There are other problems too,of course. India needs to ensure that Pakistans producers have access to the best possible information about domestic regulatory standards,or too many cross-border shipments can wind up lying quarantined at the Wagah border. Wherever possible,the excess permits agriculture permits,phytosanitary certificates,Indian standard of quality,licensing requirement for import of vehicles,textile-specific barriers,health and safety regulations and many more, as one Karachi-based importer wearily listed recently need to be streamlined,and where they are not,adequate support must be available to importers.
Cross-border trade can go up by an order of magnitude,greatly helping producers and consumers on both sides of the border. The collateral benefits of increased trade and people-to-people contact,of course,should push India to go the extra mile.
