Pakistan trade deal brings limited profit for Kabul

"Afghanistan also agreed to allow Pakistan traders to seek routes to central Asia along Afghan roads." — File Photo

KABUL: A deal to open new export markets for Afghan products, by creating a tax-free transit corridor to India through Pakistan, is lopsided and may cement Islamabad’s resented grip on the Afghan economy, traders and officials say.

The US-sponsored transit agreement which comes into effect next year allows Afghan trucks to drive tax free across Pakistan up to the Indian border with products for sale there — but they cannot load up with Indian exports for the return journey.