Prime Minister Shehbaz Sharif’s visit to Azerbaijan will prove to be a positive step in promoting economic growth and creating opportunities to enhance bilateral trade relations in various sectors, the Vice President of FPCCI, Aman Pracha, stated during a conversation with the media.
Aman Pracha said that with the changing global economic order, now is the right time to enhance trade relations. The total trade volume between the two countries is $5.96 million, with Pakistan’s exports to Azerbaijan valued at $5.93 million and imports from Azerbaijan at $0.03 million.
He added that signing various Memorandums of Understanding (MOUs) and agreements will foster bilateral cooperation, particularly in trade, energy, tourism, and education. One key MOU is between Azerbaijan’s State Oil Company and Pakistan’s Frontier Works Organization (FWO) and Pakistan State Oil (PSO) for collaboration on the Machike-Thalian-Taru Jabba White Oil Pipeline Project, which holds great socio-economic, geopolitical, and geostrategic significance for both countries.
He further stated that a group of Pakistani IT, Information and Communication Technology (ICT), and startups is currently working in the liberated areas of Karabakh, showing their readiness and confidence to invest in various parts of Azerbaijan. Several textile units, pharmaceutical companies, and sports businesses have been established by Pakistani investors in Azerbaijan, indicating a secure and promising environment for Pakistani entrepreneurs.
Aman Pracha added that during Pakistan’s economic hardships, the government of Azerbaijan provided oil and gas on deferred payments, which gave Pakistan a strategic financial cushion to manage its current account deficits. He mentioned that the construction of the Zangezur Corridor will also provide Pakistan with a comparative advantage in exporting goods to Eastern Europe once it is completed.
Additionally, the Chairman of the FPCCI Standing Committee on Energy and leader of the Petroleum Dealers Industry, Malik Khuda Bakhsh, said that Pakistan requires a stable and smooth supply of energy, oil, and gas, and these MOUs will help address Pakistan’s energy deficit, which has been troubling its industries and society. Furthermore, MOUs on security, defense, education, and tourism will strengthen bilateral trade, and mutual business activities will be further consolidated.
Malik Khuda Bakhsh stated that the Prime Minister’s focused economic diplomacy is now yielding results, as the recent agreement to increase bilateral trade to $2 billion demonstrates growing mutual trust, economic cooperation, and industrial development. He added that bilateral relations between Pakistan and Azerbaijan rapidly develop, leading to improved trade volumes. Pakistani businesspeople can leverage the bilateral MOUs to promote economic growth.
