Mumbai, May 2: Despite rising tensions between the arch rivals, the trade relations between India and Pakistan seem to be heading in a positive trend. The increase in bilateral trade has led to India becoming the 4th largest supplier of goods and services to Pakistan in February 2017, while displacing the Unites States. The total value of Indian exports to the country for the month stood at 196.16 million dollars as compared to 168.89 million dollars during the same month in the previous year.
The positive trend came to lights after the State Bank of Pakistan released the latest report of trade values for that country. The nearly 17 per cent increase also means that India follows only China, Singapore and the United Arab Emirates in becoming the fourth largest exporter of goods and services to Pakistan for February 2017.
Meanwhile, the country’s traditional allies such as the United States and Saudi Arabia were left behind in terms of import volume for the same month. While Saudi Arabia exported 185.88 million USD worth of goods and services for the same period, USA’s supplies stood at 170.93 million dollars.
On a year on year basis, India’s exports have dropped slightly as compared to the import figures for the previous year. However, with a net worth of 958 million dollars, India remained the sixth largest supplier of goods and services for the entire year despite growing tensions between the two countries. During July 2015 to February 2016, exports from India stood slightly higher at 1,244 million dollars.
Pakistan’s exports to India have also increased during the aforesaid period. With a 14 per cent, exports from Pakistan to India amounted to USD 286 million in July-February. In comparison, the country had exported only 251 million dollars worth of products in the previous year. Similarly, Pakistani exports to India for the month of February 2017 stood at 30.2 million, an increase of 5 per cent from the dollars reported during the same month in the previous year.
A report in the Pakistani newspaper, DAWN, quoted the State Bank of Pakistan attributing the increase in exports to India on the latter’s high demand for cement, and having said, “A slight consolation was continued strong demand for Pakistani cement from India. This partially offset the declines witnessed in the two other major markets.”
The report on the positive trade trends come while after the Indian army vowed to take revenge for the mutilation of its two soldiers who were killed in firing from the Pakistani army along the Line of Control in Jammu and Kashmir on Monday.
Source: India.com