Friday, September 9 2005 14:24 Hrs (IST) - World Time -

Bhurban (Pakistan): Encouraged by increasing flow of goods to Wagah border, India and Pakistan today (Sept 9, 2005) discussed the opening of land border points to increase bilateral trade.

Commerce Minister Kamal Nath, during a meeting with his Pakistani counterpart Humayun Akhtar Khan, in this tourist resort town, said opening of land routes for trade as well as to permit more goods other than the five essential items currently being permitted by Pakistan, would help in bringing down prices and inflation.

During the meeting on the sidelines of the G-20 Ministers Conference, Nath said he raised the issue of growing economic engagement which serves both countries well.

He said he tried to impress Khan, saying India was not only a large economy but also a large growing market which Pakistan could take advantage of.

"Indian market will provide large market access to Pakistan which no country could offer," he said, adding, for India the emerging regional market would provide a competitive edge.

The land routes provide more competitive edge in pricing, he said and asked Khan to open Wagah and other border points for more trade flows.

Pakistan has opened the Wagah border route for duty free import of sheep, cattle and meat products as well as onions, potatoes, tomatoes and garlic besides sugar.

Nath said more trade talks will follow between the two countries as Khan was scheduled to visit India on September 19, 2005. "The Pakistan Minister is visiting Mumbai and New Delhi and we would be meeting again in New Delhi."

Besides Khan, Nath also held meetings with members of other countries.

Khan on his part noted that the two countries are currently engaged in Composite Dialogue process to resolve Kashmir and other contentious issues.

"Any progress achieved in the Composite Dialogue process will help trade negotiations," he said, adding, Pakistan has already allowed imports of several items through the land border and progress on the political front would also help improving ties on the trade front.

20,000 tonnes of Indian sugar has also arrived through the Wagah border in the last few days to meet the shortage in Pakistan.

Trade between the two countries has began picking up ever since the commencement of peace process last year.

According to recent figures Indian exports to Pakistan touched $500 million while Pakistan's exports to India crossed $100 million.

The G-20 Ministers gathered here will discuss the specific issues that are being considered in the negotiations at the WTO, with a view to gauge progress and to firm up their stance on developing countries strategy to address this very important issue for the farmers of the developing world.

The G-20 comprises Argentina, Brazil, Bolivia, Chile, China, Cuba, Egypt, Guatemala, India, Indonesia, Mexico, Nigeria, Pakistan, Paraguay, Philippines, South Africa, Tanzania, Thailand, Uruguay, Venezuela and Zimbabwe.