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According to an observation, withdrawal of NATO forces is a prime factor in declining exports to Afghanistan. Worsening law and order situation and increasing mistrust among local and foreign investors are other factors that have been linked to this decline of exports, especially in the last one year.

Despite initiating several trade agreements, the exports are estimated to decline by 27%. With a record high exports in 2011 of about $2.4bn, the exports reached to as low as $1.43bn worth of exports in 2015-16.

Again reported by Dawn, the Commerce Ministry in Pakistan is yet to receive from Afghanistan a firm response on the bilateral Potential Trade Agreement that was shared with them in 2015.

As commented by the commerce ministry reported in Dawn, frequent closure of Pak- Afghan border due to the escalation along Durand Line has resulted in increased tensions on both sides of the border causing an obstruction in trade activities.

With a further decline in exports, in the current fiscal year, the exports have reached to $36 million and are estimated to stand around the figures of $1bn at the end of this year.

Read more: Pak-Afghan border closures: It’s business that suffers the most!

Several matters of trade between the countries still haven’t reached a conclusive agreement. The stated reason by one of the commerce ministry official is the Kabul’s loss of interest to indulge in negotiations to formalize a smooth trade liberalization regime.

According to the official sources, despite several efforts and reminders sent to the Afghan ministry from time to time to initiate and carry on negotiations on a current business agreement such as PTA and Joint Business Council (JBC) no success have been achieved so far.

Again reported by Dawn, the Commerce Ministry in Pakistan is yet to receive from Afghanistan a firm response on the bilateral Potential Trade Agreement that was shared with them in 2015.

“We have not received any response so far from Afghanistan,” a commerce ministry official said.

According to the official sources, despite of several efforts and reminders sent to the Afghan ministry from time to time to initiate and carry on negotiations on current business agreement such as PTA and Joint Business Council (JBC) no success have been achieved so far.

Kabul’s request to include India in all the bilateral and trilateral transit trade agreements is unacceptable for Pakistan to meet.

Also according to the officials, Kabul also wants an access to India and other SAARC countries through Wagah Border.

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