India to Pakistan: Let’s do business with each other

Let’s show more maturity and do business with each other. This was India’s External Affairs Sushma Swaraj’s message to Pakistan ahead of her meeting with Pakistani leaders.

Addressing the ‘Heart of Asia’ conference in Islamabad on December 9, Mrs Swaraj said: “Let me take this opportunity to extend our hand to Pakistan as well. It is time that we display the maturity and self-confidence to do business with each other and strengthen regional trade and cooperation. The entire world is waiting and rooting for a change. Let us not disappoint them.”

Persistent tensions in bilateral ties, and an atmosphere of mutual distrust has prevented India and Pakistan from sustained economic engagement, resulting in dismally low trade and investment.

The minister is expected to pitch for enhancing economic ties when she meets Prime Minister Nawaz Sharif and his Foreign Affairs Adviser Sartaj Aziz later in the day.

Bilateral trade between India and Pakistan stood at USD 2.4 billion (as of 2014-15). Emphasising on moving forward, Mrs Swaraj said, “For its part, India is prepared to move our cooperation at a pace which Pakistan is comfortable with. But today, let us at least resolve to help Afghanistan – in the best traditions of good neighbourliness – through more effective transit arrangements.”

India had accorded MFN status to Pakistan in 1996. A cabinet decision of November 2011 by Pakistan to reciprocate remains unimplemented. India had announced a reduction of 30 percent in August 2012 in its SAFTA Sensitive List for non-Least Developed Countries, bringing down tariff on 264 items to 5 percent within a period of three years. This benefited Pakistan’s exports to India in sectors of key interest to that country.

The theme of the ‘Heart of Asia’ conference is combining cooperation with security and connectivity. “India’s vision of this process is one of interlinked trade, transit, energy and communication routes, with Afghanistan as an important hub,” Mrs Swaraj said. Stressing on the importance of connectivity, Mrs Swaraj said: “The ‘Heart’ of Asia cannot function if arteries are clogged.”

While addressing the conference on enhancing economic cooperation, Mrs Swaraj said: “India is willing to receive Afghan trucks on its territory, at Attari, and create necessary facilities for Afghan products there. We have also formally indicated our willingness to join the Afghanistan-Pakistan Trade and Transit Agreement.”

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