Pakistan-Iran strides
Pakistan and Iran have an uneven and bumpy trade and commerce relationship. Coupled with this are the upheavals in the security realms that keep both the neighbouring states, sharing a porous border of around 900 km, at bay. In such a scenario, the opening of the Mand-Pishin border market is a good omen, and could be a game-changer in their ties if market forces are allowed to have a level-playing field. Prime Minister Shehbaz Sharif and Iran’s President Seyed Ebrahim Raisi took a leap forward as they inaugurated one of the six sustenance markets aimed at boosting bilateral trade.
The Pakistan-Iran bilateral trade is restricted much below the $500 million mark, owing to lack of initiatives and infrastructure, as well as a lethargic bureaucracy. This is an impediment in their geo-economics too, as Tehran and Islamabad had done more lip-service than practical work in boosting trade and travel. While Iran is home to Shia pilgrimage in the Holy city of Mashhad, the level of cross-border movement of people through the Dalbadin-Taftan-Zahidan route has come to a naught in recent years. This has much to do with security scars, and both the governments must address this issue on a priority basis.
The news in consolation, nonetheless, is that both the countries have agreed on Thursday to an additional 100MW electricity to Gwadar from Iran’s grid at a special competitive rate. Energy transmission from Iran has been a sought-after issue, and the deal could extend to 5,000MW of electricity to Pakistan’s desolated Balochistan province. Much needs to be done to erect a viable infrastructure for trade and tariffs, and let the least developed flanks of Balochistan on either side come on a par with other regions. This will act as a catalyst in undoing the law and order and sectarian conundrum.
Pakistan and Iran must overcome geopolitical riddles to stay afloat. The fiasco of $7.5 billion Iran-Pakistan-India gas pipeline is a case in point that goes on to stare in our faces as a bad piece of geo-economics dumped under pressures of realpolitik.
Published in The Express Tribune, May 19th, 2023.
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