Pak-Iran transit corridor opened

Trade activities under the Pakistan-Iran transit corridor have formally commenced, with the first export consignment dispatched from Pakistan. Director Transit Trade Customs Sanaullah Abro told The Express Tribune that the inaugural shipment, comprising frozen meat, was transported via refrigerated trucks to Tashkent, Uzbekistan. He said that under the corridor, consignments from Pakistan would be routed through Gwadar and Iran onwards to the Central Asian states. He added that the operationalisation of the corridor would not only accelerate Pakistan's economic growth but also increase traffic at the country's ports. According to the Directorate of Transit Trade Customs, the Pakistan-Iran transit corridor has been launched under the TIR (Transports Internationaux Routiers) system. In this regard, the directorate has streamlined TIR procedures and activated key border crossing points including Taftan, Rimdan, Sost and Gwadar for TIR transit. The Pakistan-Iran transit corridor is expected to prove a significant milestone for the country's trade and transit sectors. This development is being described as a strategic achievement for Pakistan, likely to boost exports and enhance regional connectivity. Sources said the corridor would provide Pakistan with an alternative, cost-effective trade route, reducing reliance on sea routes. It is also expected to shorten transit time and significantly lower logistics costs. At a ceremony held in this connection, Director General Transit Trade Customs Sanaullah Abro and Director Transit Muhammad Rashid flagged off the first consignment. Meanwhile, hopes were running high that Pakistan and Iran may revive their gas and oil pipeline projects following peace talks between Iran and the United States. Pakistan and Iran had signed a commercial agreement during the tenure of Pakistan Peoples Party (PPP) in 2009 and later then Iranian president Mahmoud Ahmadinejad and Pakistan's former president Asif Ali Zardari inaugurated the gas pipeline project in 2013. Iran has completed its portion of the pipeline, while Pakistan has yet to kick off construction on its side. Officials say Iran is willing to extend the gas sale agreement for another decade, but Pakistan wants to shelve the project due to US sanctions on Tehran and weak domestic demand. Over the years, Pakistan has explored a few alternative options. Under a plan, it proposed the laying of a liquefied natural gas (LNG) pipeline to Gwadar with an 80km extension to the Iranian border. A Chinese company expressed interest in building the pipeline, but sanctions remained a hurdle.