"Indo-Pak has unlimited potential for bilateral trade"

CHANDIGARH: India and Pakistan are the two largest economies in the South Asian region and provide tremendous potential for bilateral trade. This was stated by Prof Anne O Krueger, Former First Deputy Managing Director, International Monetary Fund.

He was interacting with CEOs at the Session on India – Pakistan: The Economic Opportunity organised by CII Punjab State Council at Chandigarh Thursday.

Given the complementarities and synergies between the two countries, the officially recorded bilateral trade of US $630 million is miniscule and is not reflective of the true potential which can cross US $ 5-6 billion if basic trade relations are strengthened, she added.

Sharing her perspective on the bilateral trade, Prof Anne Kreuger said that at present the intra-regional trade in the South Asian region was the lowest in the world. Deliberating about the roadmap to give a major push to the bilateral economic and trade issues, she underlined the need for an easy visa regime to promote trade and tourism, to encourage movement of goods across the border, harmonise customs procedures and standards, eliminate double taxation, open more consulates in the two countries as well as more transport routes  and review the current list of positive items that could be imported from India to Pakistan.

While referring to the business opportunities that exist between the two countries, Prof Krueger said that there was enormous potential for joint ventures and tie-ups in the areas of energy, specifically hydroelectric energy, healthcare, infrastructure, tourism, university education and entertainment. At a more fundamental level, she recommended the need to enhance the people to people contact between India and Pakistan.  This could be particularly feasible through organising exchange programmes relating to the areas of education, culture, business and tourism, she said.

Earlier Dr Isher Judge Alhuwalia, Chairperson, Indian Council for Research and International Economic Relations (ICRIER) and Vice Chairperson, Punjab State Planning Board sounded an optimistic note when she said, "We need to look at the 'little windows of hope' and develop economic stakes in both the countries and dividend would be peace on both sides of the border." She recommended for a sub continental approach for sustainability of the economic boom instead of country wise approach. Complimenting CII's initiative, she said that CII could help in organising missions to Pakistan. These missions, comprising of leaders from various sectors of economy of East Punjab would help strengthen the process of dialogue, as also impart multiple benefits arising out of the information sharing and exchange.

While welcoming the delegates, Mr Harpal Singh, Chairman, CII Punjab State Council highlighted the several positive features of the Indo - Pak relations by virtue of shared -standing co-operation in the economic, commercial and agriculture areas. He further said, "Forging a strong economic relationship between India and Pakistan has become imperative in the emerging global economy and the new international economic order. Minds and hearts need to change. Forget the Past and move on with the present to increase the political and economic space to deal with the differences".

Concluding the Session, Mr Gunbir Singh, Chairman, CII Amritsar Zonal Council shared about the strong emotional bond between the people on both sides of the border and reiterated CII's commitment to explore the trade potential between the two countries.

Over 100 CEOs interacted with Prof Krueger & Dr Ahluwalia, states the release.