[Ayesha Babar]

ISLAMABAD (August 08 2003) : Pakistani businessmen have struck deals worth $200 million with their Indian counterparts, as the nuclear-armed rivals inch toward resuming peace talks, a top business leader said on Thursday.

Ilyas Ahmed Bilour, co-president of India-Pakistan Chamber of Commerce and Industries, said the agreements were signed during a visit by a group of Pakistani businessmen to India last month.

"(Bilateral) trade has never stopped in the past nor will do in future," Bilour told Reuters by telephone from Peshawar.

He said the deals included exports of cotton yarn, dates and salt from Pakistan to India and the import of machinery and other items from India to Pakistan.

Bilour led a delegation of 40 Pakistani businessmen to India in a bid to boost trade ties between the neighbours.

The long-standing rivalry between the two countries has significantly restricted official bilateral trade, which was a mere $204 million between July 2001 and March 2002.

Traders have had to carry out the bulk of their business unofficially through third countries, such as Dubai or Singapore.

Economists say the potential for bilateral trade is massive should trade restrictions be lifted, given the combined population of India and Pakistan of around 1.15 billion people.

Bilour said Pakistan and India needed to remove political "irritants" to enhance the level of official bilateral trade.

"Trade has been going on between the two countries for a very long time, but the volume of trade cannot increase without the removal of irritants."

He said South Asia could emerge as a strong trading bloc should the main regional players, Pakistan and India, settle their disputes.-Reuters

[siddiquehabib]

Originally posted by Ayesha Babar
ISLAMABAD (August 08 2003) : Pakistani businessmen have struck deals worth $200 million with their Indian counterparts, as the nuclear-armed rivals inch toward resuming peace talks, a top business leader said on Thursday.

Ilyas Ahmed Bilour, co-president of India-Pakistan Chamber of Commerce and Industries, said the agreements were signed during a visit by a group of Pakistani businessmen to India last month.

"(Bilateral) trade has never stopped in the past nor will do in future," Bilour told Reuters by telephone from Peshawar.

He said the deals included exports of cotton yarn, dates and salt from Pakistan to India and the import of machinery and other items from India to Pakistan.

Bilour led a delegation of 40 Pakistani businessmen to India in a bid to boost trade ties between the neighbours.

The long-standing rivalry between the two countries has significantly restricted official bilateral trade, which was a mere $204 million between July 2001 and March 2002.

Traders have had to carry out the bulk of their business unofficially through third countries, such as Dubai or Singapore.

Economists say the potential for bilateral trade is massive should trade restrictions be lifted, given the combined population of India and Pakistan of around 1.15 billion people.

Bilour said Pakistan and India needed to remove political "irritants" to enhance the level of official bilateral trade.

"Trade has been going on between the two countries for a very long time, but the volume of trade cannot increase without the removal of irritants."

He said South Asia could emerge as a strong trading bloc should the main regional players, Pakistan and India, settle their disputes.-Reuters

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