Key huddle: Pakistan, Russia to hold ministerial meeting in Nov

Will review steps for removing bottlenecks in way of bilateral trade

FAISALABAD: Trade relations between Pakistan and Russia are growing satisfactorily at the government level and a planned investment of $2 billion reflects the deepening cooperation, said Russian Ambassador to Pakistan Alexey Y Dedov.

“The private sector of the two countries should also come forward to play its role in giving a quantum boost to the bilateral trade,” he stressed while speaking at a function organised by the Faisalabad Chamber of Commerce and Industry.

Dedov pointed out that Russia had started a number of energy projects while an agreement was also signed to lay a gas pipeline from Karachi to Lahore and now the balance of trade was in favour of Russia.

However, he said, the trade volume was still far less than the potential and business communities of the two countries should take necessary measures to capitalise on the opportunity.

He revealed that a ministerial meeting would be held in Islamabad in November and December that would consider steps for removing the bottlenecks hampering bilateral trade.

Many Russian companies are already working in Pakistan and more are willing to make investments as the situation is improving considerably.

Discussing the hurdles standing in the way of bilateral trade, the envoy said one of the major impediments was the unrest in Afghanistan.

Russia is importing wheat and kinnow from Pakistan and more commodities could also be purchased provided the roads passing through Afghanistan are made safe and secure.

Regarding the possibility of signing memoranda of understanding, preferential and free trade agreements, Dedov said negotiations were required at the official level.

Speaking about promoting cooperation between private sectors of the two countries, he emphasised the importance of a reliable and credible banking system.

He disclosed that Pakistan government was ready to open a branch of National Bank of Pakistan in Moscow, which would have a salutary impact on pushing bilateral trade.

Referring to sanctions clamped on Turkey by Russia, the envoy said it provided a unique opportunity to Pakistani exporters to fill the gap by making arrangements with their Russian counterparts, particularly for the export of textile products.

He assured them that he would provide a list of Turkish companies that had been banned from making shipments to Russia. He also promised cooperation in exchange of trade delegations and holding exhibitions in both countries.

Trade volume between the two countries stood at $412.5 million in 2014, of which Pakistan’s exports were worth $187.6 million while imports amounted to $224.9 million.

Published in The Express Tribune, March 2^nd, 2016.

Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.