“Cross-LoC Trade should not be limited only to two Kashmirs. It should go beyond Muzaffarabad”-Interview with Abdul Hamid Punjabi

“Cross-LoC Trade should not be limited only to two Kashmirs. It should go beyond Muzaffarabad”
Interview with Abdul Hamid Punjabi
Secretary General, Kashmir Chamber of Commerce and Industry (KCCI)

D. Suba Chandran

The LoC is opened for the divided families more than two years ago. Cross-LoC trade is yet to take place. Why and where is the delay?
The Kashmir Chamber of Commerce and Industry (KCCI) has been demanding the opening of LoC for trade ever since it is opened. From the Prime Minister to the Chief Minister in J&K, it has met all concerned persons on this vital issue. The road is yet to open. The reason is purely political. Perhaps, India and Pakistan have to settle the formalities of trade.

What potential does the cross-LoC trade has? What would be the volume of trade if the LoC is opened for goods?
There is tremendous potential for cross-LoC trade. From Kashmir Valley, goods that could be traded include the following: Carpets, rugs, paper machie, shawls, wood carvings, furniture, silk and silk products, apples, dry fruits, saffron, wazwan, leather and leather products, readymade packed foods and fabricated items like ornaments of gold.

On the volume of trade, it is difficult to predict today, what would be exact amount. For that it requires meeting of both sides, exchange of lists of items that could be traded and approval by the governments concerned to trade them. None of the above has happened so far. How can one predict the volume of trade now?

What should be the nature of this cross-LoC trade?
The cross-LoC trade should begin as early as possible. And this trade should not be limited only to two Kashmirs. It should go beyond Muzaffarabad to Rawalpindi and other parts of Pakistan. If the goods from this part of Kashmir is allowed to go only up to Muzaffarabad, it will not benefit the traders much.

To start with, Uri-Muzaffarabad road should be given importance, for it is short and an all weather road. Subsequently, other roads should also be opened for trade across the LoC. For example, from Kashmir Valley, goods could be traded through Gurez to Astore and also via Kargil to Skardu.

To support that kind of a trading activity, initiatives also needs to taken inside in terms of improving the infrastructure. Roads need to be built and expanded; there is need for better supply of electricity, which is a big hurdle today in augmenting the manufacture in Valley. If there is better electricity and roads, productivity could be doubled inside Kashmir.

Finally, KCCI should be engaged in this process. For example, KCCI was not a part of the working group on the economic development constituted under Dr Rangarajan. In fact, the KCCI has submitted a memorandum on the submission of this group’s report.