Pakistan and Iran have agreed to strengthen their economic ties, setting an ambitious target of $8 billion in annual bilateral trade. The agreement was reached during a high-level meeting between Pakistan’s Commerce Minister Jam Kamal and Iran’s Minister for Industry, Mines and Trade, Mohammad Atabak, on the sidelines of Iranian President Masoud Pezeshkian’s two-day official visit. Both sides described the move as the beginning of a “new phase of strategic economic partnership,” emphasizing the need to remove trade barriers and enhance cooperation.
During the discussions, Minister Kamal highlighted the untapped potential in Pakistan-Iran trade, suggesting that with the right policies, annual trade could easily surpass $5–8 billion. He proposed organizing specialized trade delegations involving chambers of commerce from both countries to facilitate market access and regulatory improvements. “We’ve successfully implemented this model in Belarus and other regions. Let’s replicate it with Iran, starting with high-potential sectors,” Kamal stated.
The ministers also stressed the importance of leveraging geographic proximity to boost trade efficiency. Kamal pointed to ASEAN nations as an example of how regional trade can drive economic growth. “Geography is an advantage. If we don’t utilize this, we lose both time and cost benefits,” he said. Atabak echoed these sentiments, urging swift action on newly signed agreements and highlighting the readiness of traders and industrialists in both countries.
Looking ahead, both ministers agreed to fast-track the next Joint Economic Commission (JEC) session and prioritize sectors like agriculture, energy, and logistics. They also emphasized cultural and linguistic ties as a foundation for stronger economic collaboration. With high-level political will and mutual trust, Pakistan and Iran are poised to transform regional trade dynamics, creating a powerful economic bloc with far-reaching benefits.
