Karachi-East Africa shipping links planned

Pakistan and Rwanda have agreed to move toward direct trade and shipping links as part of broader efforts to deepen bilateral economic cooperation, with both sides identifying supply chain connectivity and reduced transit costs as immediate priorities.

The understanding emerged during the Rwanda Coffee Festival held in Islamabad, which was inaugurated by Federal Minister for Commerce Jam Kamal Khan. On the sidelines of the event, Kamal Khan held talks with Rwanda's Minister of Trade and Industry Prudence Sebahizi, during which the two sides agreed to establish direct supply chains, strengthen business-to-business engagement and widen cooperation across trade, agriculture, manufacturing, logistics and investment, according to an official statement issued on Thursday.

Coordinator to the Prime Minister for Commerce Rana Ihsaan Afzal Khan was also present at the meeting.

Addressing the gathering, the commerce minister said Pakistan and Rwanda, both agro-based economies, shared strong complementarities at a time when global food security had assumed strategic importance. He said the engagement aimed to unlock untapped trade potential between the two countries through structured commercial linkages.

He noted that Rwanda's exports to Pakistan had traditionally been dominated by tea, but coffee consumption in Pakistan was rising rapidly, particularly among younger consumers. Pakistan currently imports tea worth nearly $3 billion annually, while coffee is transitioning from a niche product to a mainstream item, he said.

Kamal Khan said Rwanda's premium-quality coffee, competitive pricing and geographic proximity gave it a natural advantage. He added that Pakistan's market of over 250 million people could also serve as a gateway for Rwandan coffee exports to Central Asia, western China and neighbouring regions. He pointed to Pakistan's tariff rationalisation policy, under which tariff lines would be gradually reduced to make imports more competitive.

On the export side, the commerce minister highlighted Pakistan's strengths in rice, textiles, leather and footwear, sports goods, surgical instruments, pharmaceuticals, home appliances, electronics and agricultural machinery. He noted that Pakistan had already begun exporting tractors to African markets and was keen to diversify trade with Rwanda on the basis of mutual benefit.

He also indicated Pakistan's interest in importing Rwandan avocados, pulses, lentils and beans, and assured facilitation in phytosanitary certification through cooperation between relevant authorities.

Sebahizi described Pakistan as a major potential market for Rwanda and said his country was seeking to diversify exports beyond tea to include specialty coffee, spices and other value-added products. He said the coffee festival formed part of a broader strategy to introduce Rwandan coffee to Pakistan.

The Rwandan minister highlighted Rwanda's role as a trade and distribution hub, offering access to a market of more than 1.4 billion people under the African Continental Free Trade Area. He noted that Pakistani rice, both basmati and non-basmati, was consumed in Rwanda and re-exported to other African countries.

Both sides stressed the need for direct supply chains to reduce reliance on transshipment through third countries. The Rwandan side said discussions were under way with Pakistan's maritime authorities to cut shipping times and costs, noting that current transit periods of up to 45 days could be significantly reduced.

The two ministers also reviewed progress on a proposed memorandum of understanding on trade and economic cooperation, which has been exchanged through diplomatic channels. Rwanda said only minor technical adjustments remained and expressed confidence that the MoU could be finalised shortly.

Separately, Federal Minister for Maritime Affairs Muhammad Junaid Anwar Chaudhry and Rwandan High Commissioner Harerimana Fatou discussed proposals to establish direct sea routes from Karachi to East African ports, including Djibouti and Mombasa. The discussions included plans to cut shipping costs by up to 30% and reduce transit times through a Karachi-Djibouti route.

Junaid Chaudhry said Gwadar was being positioned as a future export hub for Africa to support Pakistani exports while facilitating imports of Rwandan tea, coffee and avocados. He said direct maritime links would improve connectivity for Rwanda, despite its landlocked status, by using Djibouti and Mombasa as gateways.