Pakistan Railways Freight Chief Executive Officer Sufiyan Sarfaraz Dogar has announced that an international freight train service to Russia is expected to commence operations by March 15 this year – an initiative aimed at boosting regional trade with Iran, Turkmenistan, Kazakhstan and Russia.
He sought containerised cargo commitments from the entire business community, particularly from members of the All Pakistan Textile Mills Association (Aptma), to the new service. He emphasised the significant potential for enhancing trade among Pakistan, Russia and transit countries including Iran, Turkmenistan and Kazakhstan. He shared details of Pakistan-Russia freight train facility during his visit to the Aptma office on Wednesday.
The CEO informed businessmen that the freight train would operate from Qasim International Container Terminal and Pakistan International Container Terminal, offering container capacity options for 22 tons and 44 tons.
"This rail link marks a significant step forward in regional trade infrastructure," he remarked. Taftan station in Pakistan will serve as the key entry point for goods moving along the international corridor. Issues related to deployment of Customs officials at Taftan entry point have almost been resolved.
He told Aptma members that with the beginning of freight service, Russia would be able to export oil, natural gas, steel and industrial goods directly to Pakistan. In return, Pakistani exporters will gain improved access to Iran, Turkmenistan, Kazakhstan and Russian markets for textile, food and agricultural products including rice, wheat and cotton.
He mentioned that Pakistan and Russia had signed a memorandum of understanding (MoU) for cooperation in the railway sector during the 27th Saint Petersburg International Economic Forum in June 2024. The agreement laid the groundwork for this ambitious project, which promises to establish a more efficient and cost-effective trade route connecting South Asia with Central Asia and Russia.
Aptma Chairman Kamran Arshad, while highlighting the strengths and potential of Pakistan's textile industry, noted that the sector was on an upward trajectory, with an ambitious export target of $50 billion to be reached within five years.
He praised the government for creating an enabling environment for the growth of textile industry, which led to increased exports and foreign exchange earnings for the country. Arshad underlined the need for developing adequate infrastructure and providing value-added services to facilitate trade.
He recommended the automation of freight handling and cargo delivery to reduce costs and dwell time, the establishment of dry ports along the route to further reduce costs, a barter trade agreement between Pakistan and Russia on the pattern of Pakistan-Iran barter trade deal and the strengthening of banking channels with Russia.
He gave assurances to Pakistan Railways Freight that Aptma would extend full cooperation for the new rail service that could revolutionise trade dynamics in the region.
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