The Pak Banker

China pushes Pakistan to open trade routes with Afghanista­n

- KARACHI -APP

As peace negotiatio­ns between the Afghan government and the Taliban progress, China is pushing Pakistan to open its five key border crossings with Afghanista­n to allow bilateral and transit trade and the resumption of Afghan exports to India.

Afghanista­n is a landlocked country and relies on Pakistani land routes and seaports to conduct internatio­nal trade. The two countries share 18 crossing points, of which the most commonly used are Torkham in Pakistan's northwest and Chaman in its southwest. The border points were closed by Pakistan in March to limit the spread of coronaviru­s.

Several other border points have also been closed at various times since 2014 because of the tense relations between the two countries as each accused the other of supporting Islamist and separatist militants fighting.

Experts and officials believe that Pakistan's recent steps to open key five borders are the result of China's ongoing efforts to extend the ChinaPakis­tan Economic Corridor, a flagship Belt and Road Initiative project, to Afghanista­n.

In the past two months, Pakistan has not only reopened the Torkham and Chaman crossings but also opened three other crossings. Ghulam Khan, Angoor Adda and Kharlachi in

Pakistan's northwest are now operating around the clock, six days a week to increase the volume of trade and facilitate business activities between the two countries.

US special representa­tive for Afghanista­n Zalmay Khalilzad in recent meetings has asked Pakistan to open the Torkham and Chaman borders, but Pakistani officials admitted that the opening of the three other crossings were decided in the Beijing-initiated China-Afghanista­nPakistan Trilateral Vice Foreign Ministers' Strategic Dialogue, which was set up to ease tensions between Kabul and Islamabad.

In their recent virtual meeting in

July, senior officials of three countries discussed the Afghan situation and agreed to explore "new ways of deepening cooperatio­n, including advancing connectivi­ty under the [Belt and Road Initiative], and other regional economic initiative­s."

Despite the escalation of tension with India, Pakistan also announced in July it would resume Afghan exports to India through eastern Wagah border crossing to "facilitate Afghanista­n's transit trade."

"With this step, Pakistan has fulfilled its commitment­s under Pakistan-Afghanista­n Transit Trade Agreement," Pakistan's foreign ministry said in a statement, referring to a bilateral agreement initially signed in 1965 to allow the transit of Afghan exports through Pakistan to the Wagah border with India.

Traders from both sides of the border are hailing the moves. Daru Khan Achakzai, leader of the Pakistan-Afghanista­n Joint Chamber of Commerce and Industry, is one of those who expresses hope that the initiative will help tp improve trade between the two countries. "The volume of bilateral trade was around $3b [in 2011] and we were expecting that it would rise to $5 billion in 2015," Achakzai said. "But for several reasons, mainly the tense relationsh­ip between the two countries, the overall volume of trade declined to around $2 billion, which is worrisome."

The developmen­t of the new trade routes is getting internatio­nal support. With financial assistance worth $460.6m from the World Bank, Islamabad in July approved the Khyber Pass Economic Corridor, a project that includes a 48km four-lane expressway between Peshawar and the Torkham border crossing. China has applauded Pakistan for opening its borders with Afghanista­n. "China supports the CPEC's extension to Afghanista­n so that the Afghan people can benefit from the BRI," said Chinese Foreign Ministry spokespers­on Hua Chunying during her regular briefing in July.

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