Pak-Uzbek Transit Trade agreement soon

July 11, 2021

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Pakistan and Uzbekistan are due to sign a Transit Trade agreement (TTA) in Tashkent on Thursday, July 15, allowing each other to use their own facilities to send their goods as transhipments.

The signing ceremony to be witnessed by Prime Minister Imran Khan. The TTA allows goods, vehicles and drivers to pass through Uzbekistan and its border crossings with other Central Asian republics, including railways and roads. Pakistan grants similar opportunities with the exception of passing into India. Uzbeks can use our seaports. The TTA is governed by the Customs Agreement on the International Transport of Goods under Cover of TIR (Transports Internationaux Routiers).

On 30 April 2021, the first TIR consignment left for Uzbekistan via the Torkham border station.

Sources added that Uzbekistan already has a transit agreement with Afghanistan, while Pakistan has its own agreement with Afghanistan, which means that there will be a smooth flow of goods after the agreement.

Both countries have almost completed the Preferential Trade Agreement (PTA), but Tashkent is currently not ready to sign it for reasons of delay.

The President of Uzbekistan Shavkat Mirziyoyev and Prime Minister Imran Khan held their first virtual meeting on April 14, 2021. The President of Uzbekistan presented his invitation to Prime Minister Imran Khan to attend the July 2021 High-Level International Conference on Regional Relations. Both leaders agreed that trade and economic cooperation is an important priority in strengthening the partnership between the countries. in two countries. They also recognized the enormous economic potential of a mutually beneficial relationship.

They agreed to increase bilateral trade by taking joint action to diversify trade, increase business-to-business contacts, exchange trade delegations and extend visa facilitation.

The two leaders emphasized the importance of regional integration and interdependence as a cornerstone of economic development and development. They welcomed the exchange of high-level visits on trade, railways and aviation.

In addition, the importance of holding the Uzbekistan-Pakistan Business Week and a business conference in Tashkent in July 2021 was discussed. Official sources told Business Recorder that more than eighteen business people will attend the conference and hold B2B meetings with their business partners.

According to a study by the Pakistan Business Council (PBC), there are several options for transporting cargo from Pakistan to Tashkent, including a cheaper transport option, a cost-effective transport option, a transport option with less transit time and an environmentally friendly transport option.

The cheapest transport option from Lahore to Tashkent gives a freight rate index of 4,406, an estimated transport time of 3.7 days and an estimate of CO2 emissions of 2334, while the cheapest transport option from Karachi to Tashkent gives an estimated freight rate index of 6615 times, 5.2 days and a CO2 emission index of 3640. , with an estimated transit time of 38.3 days and a CO2 emission index of 3422. The consignment travels from Port Muhammad Bin Qassim (Karachi) to Singapore Port, Singapore Port to Tianjin Xingang Port, Tianjin Xingang Port to Tianjin Railway Yard, to Chimkent rail yard finally reaching Tashkent, Uzbekistan.