Pakistan Opens Trade Corridor to Iran

Pakistan has granted permission to export a range of goods to Iran, including rice, seafood, and pharmaceutical products. Exporters using land routes will receive a temporary exemption from bank guarantee and letter of credit requirements.

According to the Ministry of Commerce, the exemption covers exports to Iran, Azerbaijan, and Central Asian countries for three months, effective from March 24 to June 21, 2026. This will significantly reduce exporters’ costs and transit time via the Iran route.

The ministry stated that the temporary financial instrument exemption includes products such as rice, seafood, potatoes, meat, onions, maize, fruits, pharmaceutical items, and tents. Partial exemptions under State Bank regulations remain, with the condition that export proceeds are repatriated within the specified period.

The government will continue practical measures to promote exports and support traders. He noted that exports of rice and pharmaceuticals via Iran will now be easier, strengthening regional trade links. By reducing costs and transit time, this initiative aims to boost exports and contribute to Pakistan’s economic stability.