B’desh, Pakistan boost trade relations with $1b bilateral commerce

Staff Reporter :

Trade between Pakistan and Bangladesh has surpassed the $1 billion mark, with both countries expressing interest in expanding commerce across various sectors.

Bangladesh’s High Commissioner to Pakistan, Muhammad Iqbal Hussain Khan, shared this information during a visit to Kasur and Faisalabad, where he met with business leaders to discuss accelerating trade.

Khan, who recently assumed office, described his visit as productive and highlighted the strong demand for Pakistani goods in Bangladesh, such as cotton, sugar, rice, apparel, and mangoes.

Similarly, Bangladesh views Pakistan as a promising market for its exports, particularly pineapples, jute, pharmaceuticals,
and garments.

He stressed the potential for further strengthening economic ties, especially as trade has resumed after a gap of over 15 years.

Bangladesh has resumed direct trade with Pakistan for the first time since its independence in 1971, with the first shipment of 50,000 tonnes of rice departing from Port Qasim (Karachi) under a government-to-government agreement, according to media reports.

The deal was finalised in early February when Bangladesh agreed to purchase 50,000 tonnes of Pakistani rice through the Trading Corporation of Pakistan (TCP), marking the first such export in nearly two decades.

The shipment will be completed in two phases, with the remaining 25,000 tonnes expected to be dispatched in early March.

According to the agreement, 60 percent of the rice will be delivered to Chattogram Port, and 40 percent to Mongla Port, with the shipments routed through Karachi Port.

The rice will be transported in break bulk cargo, packed in 50-kilogram polypropylene woven bags.

The deal follows an improvement in diplomatic relations after an interim government led by Nobel laureate Muhammad Yunus took office in Bangladesh following protests that resulted in the ousting of then-Prime Minister Sheikh Hasina.

This development is seen as a positive step towards fostering economic cooperation and reopening trade channels that had remained dormant for decades.

The latest trade agreement is expected to strengthen economic ties between the two countries and facilitate direct shipping routes.

Following Sheikh Hasina’s removal from office last year, bilateral relations have improved, with high-level exchanges between the two nations.

Diplomatic relations between the two countries have also gained positive momentum, with Prime Minister Shehbaz Sharif and Dr Muhammad Yunus meeting twice at international events.

Their discussions focused on strengthening bilateral ties, with trade as a central topic of renewed engagement.