'India, Pak bilateral trade may touch USD 10 bn by 2015'

Bilateral trade between India and Pakistan may touch USD 10 billion by 2015, if trade and investment barriers are removed, CII said.

In 2010-11, the bilateral trade between the two countries stood at USD 2.7 billion, with the trade balance heavily in favour of India.

Ahead of Commerce and Industry Minister Anand Sharma's three-day visit to Pakistan starting February 13, CII called for stronger economic linkages between the two countries.

India's top exports to Pakistan include sugar, cotton, man-made filaments and chemicals, while its imports comprise mineral fuels and organic chemicals.

Sharma will be heading a high-level business delegation, including CII President and Tata Steel Vice-Chairman B Muthuraman, Hero Corporate Services Chairman Sunil Kant Munjal and Medanta CMD Naresh Trehan to Pakistan. The visit would include trip to Lahore, Karachi and Islamabad.

Sharma would meet his Pakistani counterpart Makhdoom Amin Fahim to discuss ways to strengthen economic cooperation between the two nations.

Further, the chamber said full liberalisation of trade by placing items on a 'negative' list rather than having only a 'positive' list would boost the bilateral trade.

At present, the 'positive list' agreed on by the two sides contains over 1,900 items that can be traded. The 'negative list' would include items that cannot be traded.

CII Director General Chandrajit Banerjee said, "The trade potential between the two countries is very high and is based on strong fundamental complementarities. One step of opening up of Wagah border for all tradeable items would double the bilateral trade."

CII said Punjab provinces of both sides need to work together to leverage across-the-border advantages.

Also, the chamber said there is a need to ease visa regime and difficult clearances to attract more investments.