India seeks transit from Pakistan to supply wheat to Afghanistan

[Sugarcane]

Actually in developing countries transportation by land is costlier than transportation by sea, though cheaper than transportation by air. Merchant shipping is the heart of global economy, carrying bulk of the international trade. I guess Chahbahar remains the only alternative.

I was talking about Agriculture exports which are mostly from Northern parts of India - for example the distance from Punjab to nearest Indian port is equal if not more than transporting it to Afghan border via Pakistan.

 

[farhan_9909]

I have said this in the past aswell,if pakistan somehow agree to give india access to Afghanistan-iran-central asia,they will give up Chabahar even with the hundreds of million dollars already invested.

as the indian trade annual volume with afghanistan will take atleast 75-80years to reach 10Billion dollars and perhaps 160-165years to reach 10Billion dollars with the rest of central asia

 

[Jzaib]

let afghan have their wheat . they are our brothers. Sure these two government is very anti pakistan . but we have bigger hearts . let them do business with each other

 

[A.Rafay]

Through Pakistan? Naaah! Hand over Kashmir first!!

But seriously, it could be advantage Pakistan as they could earn a lot from transit fees. What's holding them up? Their flour milling industry? So they're scared of the competition? It would be advantageous for the ordinary Pakistani too, as competition will lower prices. Pakistan needs to end the stranglehold of vested interests.

Indian wheat would cost Pakistani Rupees 2,900 per tonne in Afghanistan, against Pakistani price of Rs 3,400 per tonne.

This difference of Rs 500 per tonne is bound to tilt the competitive edge in favour of the Indian wheat and Pakistan would lose its traditional market that consumes over half a million tonne of flour from Pakistan, the Dawn said.

This will be a big lose to our exports.

 

[halupridol]

let afghan have their wheat . they are our brothers. Sure these two government is very anti pakistan . but we have bigger hearts . let them do business with each other

ha yaar,,,ye kya khane par bhi pabandi,,,kabhi tamatar,kabhi sugar,,,,we r poor countries,we shud do more trade

 

[Jzaib]

ha yaar,,,ye kya khane par bhi pabandi,,,kabhi tamatar,kabhi sugar,,,,we r poor countries,we shud do more trade

though ium mad at afghans . we hosted 7 million of them. When ever their is war in Afghanistan it spill over in Pakistan and we get involved but i do feel for afghans. They need more business with countries other then pakistan to get them back on their feet . Poverty lead to bad things btw how was ur devali ...?

 

[Prometheus]

Indian wheat would cost Pakistani Rupees 2,900 per tonne in Afghanistan, against Pakistani price of Rs 3,400 per tonne.

This difference of Rs 500 per tonne is bound to tilt the competitive edge in favour of the Indian wheat and Pakistan would lose its traditional market that consumes over half a million tonne of flour from Pakistan, the Dawn said.

This will be a big lose to our exports.

so , afghanistan shall suffer , so that some mills in Pakistan can earn millions?

Afghanistan is a very poor country , in fact a strugling country .............it needs help from everyone...........Pakistan is a rich country ..........they shall provide wheat to poor afghans at a subsidized rate.

and further more, if international wheat comes to afghanistan , market forces will prevail and prices will fall down ....good for local economy ........we are living in globalised world .....

 

[halupridol]

though ium mad at afghans . we hosted 7 million of them. When ever their is war in Afghanistan it spill over in Pakistan and we get involved but i do feel for afghans. They need more business with countries other then pakistan to get them back on their feet . Poverty lead to bad things btw how was ur devali ...?

whatever the reasons,,,,this no trade situation is helping nobody,,,local traders cud make a killing profit on perishable goods
diwali was ok,,,,thanks

 

[Jzaib]

whatever the reasons,,,,this no trade situation is helping nobody,,,local traders cud make a killing profit on perishable goods
diwali was ok,,,,thanks

as devali is over please tell modhi jee to stop firing patakas on border so we can hear news other then firing on border and get back to news like Katrina hurt her leg, kareena is no more size 0 ..

 

[Donatello]

Don't be stupid, there is the M2-M1 motorway, from Lahore to Peshawar, safer than any highway in India.

@Donatello

Seriously , you are comparing Pakistan to India , lol

Yes. Our highway inter connectivity is much better than India.

And about safety, these motorways are access controlled. They are safe and secure. As much as any 'safe' road in India.

It is already happening. The infrastructure is being developed by these States, this started a few years back. The results will bear fruit in a decade.

Who do you think is pushing the Central Asian States into doing this in the first place?
Its China, they are not only the ones who are pushing them, they have also financed some of it and they are making money building the infrastructure as well! Not to mention providing consultancy where they are not building it themselves!

However how is China being there relevant to India?
The idea was that till now Central Asia was a relatively difficult market due to inter-national logistical difficulties for.

You had to use one or the other states there as a springboard, now however the Central Asian states will come under direct economic line of non-regional countries - .

Indian and Chinese companies are competitors globally - from US to Africa to India itself. Neither the Chinese nor the Indian companies are expecting a captive market. We know we will have to compete, but you can be assured Chinese and Indian companies will push out the others.

Not to mention it will make evacuation of resources like minerals and ores from Central Asia ten times simpler.

Indian and Chinese companies will be competitive, but not now. They already took the head start 10 years ago. Look at Africa/Australia/Central Asia and heck now even Canada.

Last, the central asian states aren't exactly rich, and neither do they have demand for such infrastructure. They will need outside investment, and what better place than China that borders them?

India wants to get into Central Asia, but it is having hard time getting into Afghanistan. That's the first step.

 

[Judge]

I have said this in the past aswell,if pakistan somehow agree to give india access to Afghanistan-iran-central asia,they will give up Chabahar even with the hundreds of million dollars already invested.

Incorrect. Pakistan is required to be cost competitive in Afghanistan.
Iran is far better placed to trade with Central Asia(including Turkey) cost competitively, for India and everyone else.

You must understand that distances that vast are simply not covered by road. It becomes cost ineffective. Pakistans cost advantage is only for Afghanistan. And Iran and Central Asian states are cashing in on this opportunity.

Yes. Our highway inter connectivity is much better than India.

And about safety, these motorways are access controlled. They are safe and secure. As much as any 'safe' road in India.

Yes.
Pakistan has a better highway system than India.

Though the difference will be eliminated in the coming 10 years. The sustained investment in Roads over the last decade and a half (since 2000) have yielded results - India has been slowly catching up with Pakistan.

Last, the central asian states aren't exactly rich, and neither do they have demand for such infrastructure. They will need outside investment, and what better place than China that borders them?

India wants to get into Central Asia, but it is having hard time getting into Afghanistan. That's the first step.

China is already investing in those projects. I told you, China is the first country that actually started pushing Iran, Turkey and other States(including CAR) into this transportation grid. It was essentially China's idea. This was a decade ago.

Now the only thing new is that Iran is connecting this grid with Chabahar.

As I said earlier, Afghanistan is irrelevant to India's wish to get a direct economic line into Central Asia. Our push into Central Asia is directly dependent on Chabahar and the accompanying rail and road links being constructed along with the rail links being made in Central Asian States. And of particular importance is the Turkey-Iran transportation links being made now.

Afghanistan is completely irrelevant to these issues.

The Central Asian states dont have to be rich economically, they have to be rich in resources - which is why China and India are interested and why rail and port connectivity are important.

 

[Cheetah786]

Transit fee for Afghanistan are very low, so there is no monetary incentive as such and against risks that's nothing.

I beg to differ sir, 100s of ''ATTA'' flour producing mills in Khyber Pakhtunkhwa have shut down, because of no wheat or not enough available. allowing Indian wheat will generate revenue plus make smuggling of wheat out of pakistan less attractive bringing down the prices for average Pakistani.
Only people benefiting wit not allowing the trade is the smugglers and politicians . i say bring it. More trade means more jobs.

 

[madooxno9]

@Donatello

25.3 / 100,000 - Pakistan

16.8 / 100,000 - India

Road accidents
source:The world's most dangerous roads - get the data | Global development | theguardian.com

Though i will give this to you that M2 motorway of pakistan is really kool .

 

[Sugarcane]

I beg to differ sir, 100s of ''ATTA'' flour producing mills in Khyber Pakhtunkhwa have shut down, because of no wheat or not enough available. allowing Indian wheat will generate revenue plus make smuggling of wheat out of pakistan less attractive bringing down the prices for average Pakistani.
Only people benefiting wit not allowing the trade is the smugglers and politicians . i say bring it. More trade means more jobs.

Dude - The wheat is supposed to go directly to Afghanistan, I don't know how that will help KPK floor mills. But yeah if India sell subsidized wheat to Pakistan and Pakistan export flour to Afghanistan only than it's beneficial to Pakistan.

 

[Nova2]

Wait till US leaves Afghanistan, it's gonna collapse. They have no fundamentals what so ever. the 12% YoY figures are misleading because the billions in aid was counted as GDP growth. Since the GDP is hardly a few billions USD worth, even if you add 1 billion USD per year, it's a big growth. Once the aid dries out, it's gone. So if India is going there for market, it's gravely mistaken. You'll find a market at least 10 times that size in Pakistan.

I was reffering to turkmenistan having 12%yoy growth rate. Its economy relies on natural gas and cotton exports,with addition to chemical Industry and others. India is trying to do business with Pakistan now,but it people are not ready to go ahead with the trade,because Indian good are cheaper then Pakistan's,its just like chinese goods that are dumped into India which hit the dometic manufacturing Industry hard,but still the trade is on,even though we are on back foot.Both of our countries have to start somewhere or else we would be stuck like this forever.

@Donatello

25.3 / 100,000 - Pakistan

16.8 / 100,000 - India

Road accidents
source:The world's most dangerous roads - get the data | Global development | theguardian.com

Though i will give this to you that M2 motorway of pakistan is really kool .

Yep those yellow strips at two sides of the road make it look even better,why the heck in India the mostly use white strips,i looks so damn boring.