600 trucks stuck along border with Iran

Senate panel discusses barter trade

ISLAMABAD:

The Senate Standing Committee on Trade on Monday discussed the barter trade system with Iran and heard complaints from the representatives of the trade bodies about the difficulties being faced by them in the trade with the neighbouring country.

The committee met with its chairperson Anusha Rehman in the chair. The committee meeting was apprised that 600 loaded trucks were stuck on the Pakistan-Iran border because the officials were demanding import order.

Committee member Salim Mandviwala said that food items were going to Iran from Pakistan under the barter trade. Commerce Secretary Jawad Pal said that the State Bank had made the electronic import form (EIF) mandatory.

However, Mandviwala said that this was not import because there was no payment, adding that there was no need for the EIF form. The commerce ministry officials said that if the traders declared their good in the V-book, there problem would be resolved.

Mandviwala said that this matter was not that simple. The chair noted that the statutory regulatory order (SRO) about the barter trade was not in operation, while a sub-committee had been formed to look into this issue.

The trade secretary said that the goods imported under the barter trade had to be declared first. But Mandviwala said that trade could not be fixed because the traders could buy anything in exchange for their goods.

The chair said that three Indian banks paid Iran in their own currency, therefore, Pakistan should also do the same.