Bilateral trade remains limited to $1.7 billion despite Pakistan’s dominant share in Afghan imports and the potential to exceed $5 billion under a full FTA. Current mechanisms—APTTA and the 2025 PTA—are too narrow, covering transit goods and just eight agricultural items, leaving high-value sectors untouched. Pakistan stands to gain the most from an FTA, with opportunities in cement, pharmaceuticals, textiles, IT services, electronics, and processed foods. A strategic FTA would formalize trade, curb smuggling, stabilize supply chains, and strengthen Pakistan’s long-term economic influence in Afghanistan. Pakistan and Afghanistan maintain one of South Asia’s most significant bilateral trade relationships, yet the…
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