Why trade relations between India and Pakistan is going strong.

For two countries that are always butting heads with each other, it would seem that there is trade existing between them in any form. Nevertheless, the opposite is true. Yes, trade relations between the countries were in freeze mode for a long period. However, in the year 2011, the same was restored and goods were exchanged with ease. This happened even though there were diplomatic issues existing between the neighbours.  Some trade figures estimate that initial exchanges led to a trade of one billion USD. However, in the year 2013, this figure saw a twenty-one per cent increase . This translated into trade worth two billion dollars.

Many people on both sides are against this trade. They constantly fear that it will affect local traders in each country. Nevertheless, this is a myopic view. The reality is that trade is only in goods which are not available in each country. For example, fruits like Mangoes are always sent to Pakistan to be sold. Such an agreement is clearly beneficial to both countries. The proximity means that they save millions of dollars in transport as compared to imports from other countries. So irrespective of the hurdles, business between India and Pakistan will always grow