LAHORE (Special Correspondent) – The High Commissioner of Bangladesh to Pakistan, Md Iqbal Hussain Khan, has stated that there is significant potential to expand bilateral trade between Pakistan and Bangladesh. Currently, the annual bilateral trade volume stands at approximately US$1 billion, while the underlying economic potential is worth several billion dollars. Speaking at the Lahore Chamber of Commerce and Industry (LCCI), the High Commissioner emphasized that stronger cooperation, improved trade connectivity, the systematic removal of trade barriers, and closer engagement between the business communities of both nations are essential to unlock this untapped potential.

Key Points

• The current US$1 billion bilateral trade volume is significantly below its multi-billion-dollar potential.
• High Commissioner Md Iqbal Hussain Khan identified sectors including agriculture, textiles, pharmaceuticals, and engineering as prime areas for collaboration.
• LCCI President Ali Hussam Asghar proposed creating a dedicated Bangladesh trade cell to coordinate bilateral business activities.
• Direct shipping routes could reduce transit time between Karachi and Chittagong from two weeks to five or six days.
• LCCI leadership urged for simplified visa procedures and direct air connectivity to boost investment and tourism.

Exploring Trade Sectors and Connectivity

High Commissioner Md Iqbal Hussain Khan identified agriculture, textiles, pharmaceuticals, engineering, food processing, chemicals, minerals, education, healthcare, and tourism as promising areas for bilateral collaboration. He noted that while Pakistani businesses have participated in ‘Made in Pakistan’ exhibitions in Bangladesh, Bangladeshi participation is also expected at an international exhibition in Karachi this November. He highlighted that Bangladesh has a strong interest in importing Pakistani maize, rice, basmati rice, textile raw materials, chemicals, minerals, manufactured goods, sugar, wheat, cereals, and spices.

Addressing logistics, the High Commissioner pointed out that current cargo shipments between Karachi and Chittagong typically transit through Colombo, Singapore, or Bangkok, taking approximately two weeks. Establishing direct maritime connectivity could reduce this transit time to just five or six days. He also called for easier business visas, improved e-visa procedures, and stronger direct air connectivity, noting that Pakistan could serve as a gateway to Central Asia, while Bangladesh provides access to Southeast Asian markets.

Strategic Proposals for Economic Growth

LCCI President Ali Hussam Asghar proposed establishing a dedicated Bangladesh trade cell under the Senior Vice President to coordinate bilateral business activities. He suggested identifying five priority export sectors, linking LCCI with a leading chamber in Dhaka or Chittagong, and initiating virtual B2B meetings followed by trade delegations. Ali Hussam Asghar stressed that both nations must move beyond discussions and adopt a result-oriented strategy. LCCI Senior Vice President Sardar Usman Ghani called for reversing the current downward trend in bilateral trade and raising it to at least US$2 billion, highlighting opportunities in IT, cement, and light manufacturing.

Vice President Chaudhry Khadim Hussain expressed confidence that joint ventures and collaborative efforts could elevate mutual trade and investment to new heights. Executive committee members, including Naila Nadeem, Shahzad Ali Shah, and Amir Ata Barry, also highlighted niche opportunities in medical sciences, pharmaceutical manufacturing, and industrial equipment. They identified specific barriers, such as visa documentation and banking difficulties, that need to be addressed to facilitate smoother trade relations.

Frequently Asked Questions

What is the current status of Pakistan-Bangladesh bilateral trade?

The current bilateral trade volume between Pakistan and Bangladesh amounts to approximately US$1 billion annually, which officials describe as significantly below its true potential.

How can trade connectivity be improved between the two countries?

Officials suggest that establishing direct maritime routes between Karachi and Chittagong could reduce transit times from two weeks to five or six days, alongside improving e-visa procedures and direct air connectivity.