KARACHI: State Bank of Pakistan (SBP)’s Exchange Policy Department (EPD) on ‘Transit Trade Transactions’ stated that in order to promote regional trade, it is clarified that there is no prohibition by Bank on transit trade transactions through any country including under Transports Internationaux Routiers (TIR) Convention, provided no sanction item, person or entity is involved.  

Businessmen community expressing trust that private banks will follow this communiqué which would enable efficient and commercial use of Islamabad-Tehran-Istanbul (ITI) corridor they hoped that this will provide additional support and arguments needed to remove any unnecessary obstacles preventing TIR transports via Iran to/from Pakistan. Pakistan has already ratified United Nations Customs Convention on International Transport of Goods under cover of TIR Carnets (TIR Convention) in July 2015.   

TIR tool to facilitate post-war inter-European trade within context of fragile geopolitical relationships. Customs transit system enabled goods to flow across unstable borders as economies and communities of Europe began to recover. TIR became tangible means to strive for prosperity. 

IRU enjoys long-standing partnerships with United Nations, European Union and Eurasian institutions, giving insight needed to drive progress in road transport industry. Today, they connect societies with safe, efficient, green mobility and logistics. IRU is International Road Transport Union, founded 70 years ago in Geneva to facilitate trade, international road transport and passenger mobilityand to support sustainable development worldwide. They have been driving economic growth in more than 100 countries, upholding interests of all road transport operators by finding increasingly efficient ways to connect societies.

It began with an alliance of national passenger and freight road transport associations from eight European countries, to ensure that road transport industry would be represented at newly created UN, which was tasked with putting in place frameworks for a new, post-war Europe.  

They represent entire industry-bus, coach, truck and taxi and drive sustainable mobility of people and goods across planet. As voice of more than 3.5 million companies operating mobility and logistics services in over 100 countries, they lead solutions to help world move well. IRU’s work supports trade, economic growth, jobs, safety, environment and communities.  During IRU meeting on August 25, 2022, representative from FPCCI was assured of cooperation to resolve any TIR-related issues in Pakistan, notably, obstacles posed by Pakistani banking system for use of TIR transports transiting through Iran. 

IRU officials added that in last six months, Iran has experienced continuous increase of foreign transits through its borders, reaching up to 7 million tonnes of transiting goods, which represents an increase of 22 percent compared to same period last year.  According to Iranian public sources, largest amount of goods transiting via Iran are going through Bandar Abbas Port from Persian Gulf, with about 2.568 million tonnes of goods transiting from this Customs office, which is 35.67 percent increase compared to same period last year. 

Other important transit figures via Iran during this period included 1.263 million tonnes between Iran and Iraq, 0.905 million tonnes between Iran and Azerbaijan, 0.632 million tonnes between Iran and Turkey, and 0.564 million tonnes between Iran and Turkmenistan.  Analysts said there is no doubt that ongoing projects such as further activation of transit corridors, notably North-South and East-West corridors, as well as implementation of digital TIR projects between Iran and other countries will further facilitate and increase transit of goods via Iran. According to Iranian authorities, transit volumes are expected to reach 15 million tonnes this year. 

Published in The Daily National Courier, December, 06 2022

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