Stakeholders demand review of controversial APTTA

Stakeholders of Pak-Afghan trade have called for the review of the controversial Afghanistan Pakistan Transit Trade Agreement (APTTA), signing of formal bilateral Pak-Afghan trade agreement and separation of politics from trade relations both neighbouring countries.
The proposals were put forward during stakeholders meeting with World Bank officials during a meeting held here the other day. The participants of the meeting were included exporters/importers, chambers of commerce, transporters, clearing agents and Small and Medium Enterprises Development Authority (SMEDA). The World Bank was represented by a team comprising the senior economist and local officials.
The purpose of the meeting was to strengthen the transport infrastructure along the Pak-Afghan corridor and facilitate cross-border movement of goods. The World Bank has agreed to consider financing requirements of a new Peshawar to Torkham expressway.
The Government of Pakistan has already provided funding for the construction of a 2-Lane additional carriageway on Torkham-Jalalabad section in Afghanistan. Furthermore, Asian Development Bank (ADB) is financing the Jalalabad-Kabul section.
The World Bank is of the opinion that the realization of the proposed infrastructure investments will result in reduction of transport and trade transaction costs and open new economic opportunities for both large and small enterprises in the region.
Before, initiation of the project, the World Bank is carrying analysis and for the purpose is holding consultations with stakeholders that how much it would benefit the both countries and also support the industries of the region. The completion of the project will cut down the distance from Peshawar to Torkham to merely 10 to 15-minute drive.
The existing road infrastructure is not fulfilling the requirement, which resulting in constant decrease in bilateral trade between both countries while increase in duties by the government of Afghanistan and APTTA are other hurdles in this regard.
The stakeholders besides demanding the construction of a modern dry port also stressed need the establishment of a truck terminal. For the promotion of tourism, the participants of the meeting also proposed the revival of the Safari Train to Landi Kotal. The experts said that the reducing of transportation and trade transaction costs would raise the competitiveness of local producers, the costs of and impediments to doing business in KP and FATA will remain high. It is therefore, paramount that policy makers complemented these initiatives with interventions to facilitate the activities of local entrepreneurs.
In this regard, along with the construction of a new expressway from Peshawar to Torkham, the World Bank is also considering working on making a master plan for the greater Peshawar region, constructing secondary link roads to connect other economic areas to the new expressway, working on industrial zones in the vicinity of these expressway and help develop the skills of people in FATA related to relevant industries.