Pakistan has offered Bangladesh access to the Karachi Port Trust, aiming to enhance regional trade and connectivity. This offer was extended during the 9th Pak-Bangladesh Joint Economic Commission (JEC) meeting in Dhaka, the first such meeting in two decades. The meeting signals a potential revitalization of relations between the two South Asian nations after years of limited engagement.

The offer allows Bangladesh to expand its trade network, particularly with China and the Central Asian countries. Pakistan's Petroleum Minister Ali Pervez and Bangladesh's Finance Advisor co-chaired the JEC meeting. Both countries emphasized the importance of boosting collaboration between their national shipping corporations. Access to Karachi Port is expected to ease trade logistics for Bangladesh and create new avenues for commerce in the region.

Karachi Port: A Strategic Asset

Karachi Port is Pakistan's largest and busiest seaport, playing a vital role in international trade. Its strategic location along the Arabian Sea makes it a key gateway for cargo handling and connects Pakistan to global shipping routes. Established in 1887, the port handles a significant portion of Pakistan's foreign trade. Karachi Port features two main channels, 16.7 km and 8.5 km long, with depths of 13 m and 16 m, respectively. The port has modern infrastructure, including container terminals and oil piers, and accommodates some of the world's largest vessels. Karachi Port handles 51 million tons of cargo and 2.2 million TEUs annually, with over 1,700 ship movements.

Expanding Cooperation Beyond Trade

Pakistan and Bangladesh agreed to enhance cooperation in other key areas, including medical and religious tourism, investment and industrial collaboration, energy and climate change initiatives, and information technology and communication. They also agreed to expedite efforts to initiate direct flights between the two countries, aiming to strengthen people-to-people and business ties.

The Pakistan Halal Food Authority and the Bangladesh Standards and Testing Institute signed a memorandum of cooperation to facilitate collaboration in the quality assurance and certification of halal products. Both sides reaffirmed their commitment to working closely in sectors such as agriculture, education, banking, health, tourism, and textiles. There are also plans to establish a Pak-Bangladesh Knowledge Corridor. Pakistan agreed to increase the number of training seats under the Pakistan Technical Assistance Program from 5 to 25.

Geopolitical Context

This offer comes at a time when relations between India and Bangladesh are strained. Some experts view Pakistan's move as an opportunity to strengthen its regional influence amid these strained ties. The timing is significant, as it follows India's recent restrictions on overland imports of Bangladeshi jute. Pakistan has also decided to reduce taxes on jute and certain other products to help Bangladesh enhance jute exports.

Muhammad Yunus's takeover as the interim head of Bangladesh has led to a shift in Dhaka's foreign policy, with a warming up to Pakistan and China. Pakistan's military is also seeking to boost ties with Bangladesh, with discussions including expanding bilateral trade, investment, and defense cooperation.