In a significant development, Pakistan has inaugurated its first multimodal Transports Internationaux Routiers (TIR) operation, establishing a trade corridor that connects China to the United Arab Emirates (UAE) via the Khunjerab Pass. This initiative, spearheaded by Pakistan’s National Logistics Corporation (NLC), is expected to revolutionize regional trade and logistics.
The TIR system is a global customs transit framework designed to facilitate seamless cross-border trade by minimizing customs interference. NLC trucks recently transported electronic equipment from Kashgar, China, to Dubai’s Jebel Ali Port through Pakistan, reducing the transit time from 30 days by sea to just 10 days by land.
“This achievement signifies a major leap forward in the operationalization of the China-Pakistan Economic Corridor (CPEC),” stated NLC officials. The initiative underscores the year-round utility of the Khunjerab Pass for regional trade, which previously only facilitated bilateral trade between Pakistan and China.
The first TIR operation was marked by a ceremony at Sost Dry Port, the initial stop for the shipment before it continued towards Karachi for the sea leg. Local traders and leaders have welcomed the initiative, with Imran Ali, a former president of the Gilgit-Baltistan Chamber of Commerce, calling it a “good omen for Pakistan’s economy.” Muhammad Iqbal, president of the Gilgit-Baltistan Importers and Exporters Association, expressed optimism that the project could “change the fate of the country” by boosting regional trade and benefiting local communities.
Customs officials reported a record revenue collection of Rs9.5 billion ($34.87 million) at the Sost Dry Port in the first half of the fiscal year 2024-25, up from Rs6.5 billion ($23.4 million) in the same period last year. Anti-smuggling efforts also yielded confiscated goods worth Rs600 million ($2.16 million).
Experts view this initiative as a step towards transforming Pakistan into a major regional trade hub, enhancing economic activities in Gilgit-Baltistan and Gwadar, and fostering stronger trade ties with neighboring countries.