Pakistan

Pakistan Opens New Trade Route to Iran and Central Asia, Reducing Dependence on Afghanistan

Islamabad: Pakistan has expanded its regional trade network by activating the Gabad Border Terminal under the International Road Transport (TIR) system, creating a new trade corridor to Iran and Central Asia while reducing reliance on Afghanistan routes.
According to details, the move allows Pakistan to bypass traditional Afghan transit routes and access Central Asian markets through Iran, offering a shorter and more secure alternative for regional trade.
As part of the development, the first shipment of meat containers from Karachi to Tashkent (Uzbekistan) has successfully been dispatched. Following customs clearance, the cargo is now moving under the TIR framework via Iran to its destination.
The initiative has been facilitated by the National Logistics Corporation (NLC), which has previously enabled trade corridors connecting Pakistan with China, Iran, and Central Asian states.
The activation of the Gabad Border comes at a time when Pakistan has faced increasing challenges in Afghan transit trade due to recurring border closures and tensions since October last year, severely affecting exporters.


The 900-kilometer Pakistan-Iran border has long supported informal trade, but officials now aim to formalize and expand legal trade routes through improved infrastructure and regulatory facilitation.
To support exports, the government has temporarily relaxed banking documentation requirements for goods exported to Iran and Central Asia, including food items, medicines, and tents, until June 2026. The move aims to reduce bureaucratic delays and help exporters access international markets more efficiently.
Uzbekistan has emerged as a major market for Pakistani meat exports, accounting for 39% of total exports in FY2025—surpassing the United Arab Emirates at 26%.
Experts believe that the Iran transit route could become a long-term economic opportunity for Pakistan, especially if international sanctions on Iran are eased in the future.
The Gabad Border Terminal, located near Gwadar and close to Iran’s Chabahar port, is being viewed as a potential regional trade hub. However, officials acknowledge challenges related to transparency and informal trade practices, emphasizing the government’s focus on barter trade and alternative export routes to strengthen foreign exchange inflows.

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