KARACHI: The President of the Korangi Association of Trade and Industry (KATI), Junaid Naqi, has expressed optimism following the signing of 12 ministerial-level agreements between Pakistan and Iran. He emphasized that the recently finalized free trade agreement (FTA) will foster economic growth and strengthen bilateral relations between the two countries.

Naqi noted that the current trade volume between the nations is approximately $3 billion, with Pakistan's contribution being a mere third of this figure. He suggested that with concerted efforts, the trade volume could increase to $10 billion. Key sectors such as textiles, pharmaceuticals, leather, and food products were highlighted as areas with substantial growth potential. He also pointed to Iran's affordable energy resources as a catalyst for Pakistan's industrial growth.

Reflecting on historical ties, Naqi mentioned the solidarity between the countries during past conflicts, underscoring the enduring nature of their relationship. He called for governmental action to remove trade barriers and support local enterprises in accessing the Iranian market. Naqi also proposed the promotion of barter trade to facilitate trade expansion.

According to Naqi, the FTA will result in tariff reductions and the removal of trade obstacles, invigorating the business environment in both Pakistan and Iran. He underscored the need for stronger economic linkages and suggested organizing joint exhibitions and business-to-business meetings regularly.

He also urged the government to develop policies that encourage both domestic and foreign investments, highlighting the potential in Pakistan's agriculture and industrial sectors. Naqi concluded by stating that the FTA has the potential to reshape the economic landscape and help both nations achieve their growth objectives through enhanced regional cooperation.