Iran Seeks Expanded Economic Ties with Pakistan via Karachi, Gwadar Ports

POLICY WIRE — Islamabad, Pakistan — Iran has signaled its intent to broaden trade and economic collaboration with Pakistan through the strategic ports of Karachi and Gwadar. A high-level delegation from Tehran, led by Iranian Industry, Mine and Trade Minister Mohammad Atabak, convened with Pakistani officials in Islamabad on Tuesday. The meeting, co-chaired by Pakistan’s Commerce Minister Jam Kamal Khan, marked the 10th session of the Pakistan-Iran Joint Trade Committee.

Minister Atabak emphasized Iran’s commitment to expanding comprehensive cooperation with Pakistan. “Iran places the highest priority on expanding comprehensive cooperation, particularly with the brotherly nation of Pakistan,” he stated. Atabak also noted the progressing negotiations on the Iran-Pakistan free trade agreement, expressing confidence in its successful conclusion.

Commerce Minister Jam Kamal Khan highlighted the significance of operationalizing joint border markets to improve livelihoods. “The private sector in both Pakistan — and Iran trust each other and stand ready to trade. It’s our duty to provide them with a seamless, structured, — and predictable environment,” he said. Khan stressed the need for finalizing roadmaps to elevate the economic partnership between the two nations.

This meeting follows Iranian Interior Minister Eskandar Momeni’s visit to Islamabad two weeks prior, where discussions centered on expanding railway cooperation and strengthening cross-border connectivity. The revival of the Islamabad-Tehran-Istanbul (ITI) freight train service was also on the agenda, alongside measures to enhance regional connectivity.

In April, Pakistan notified six routes for the transportation of goods to Iran, backed by an encashable bank guarantee. The Ministry of Commerce issued a statutory regulatory order, the Transit of Goods through the Territory of Pakistan Order 2026, to facilitate this arrangement.

Last year, Pakistan and Iran signed a series of crucial protocols aimed at dismantling tariff and non-tariff barriers, expanding electricity exchanges, and strengthening communication channels. These protocols, signed during the Pakistan-Iran Joint Economic Commission (JEC) in Tehran, are projected to help achieve a $10 billion trade target between the two countries.

Reporting by Policy-Wire (PW)