ISLAMABAD: The federal cabinet has approved a new barter trade framework to boost trade with Afghanistan, Iran, and Russia. The revised system simplifies goods-for-goods exchange and introduces more flexible timelines to support the private sector.
According to the Ministry of Commerce, the barter trade period now extends from 90 to 120 days.
Revised Policy Encourages Private Sector Participation
Officials said the amendment updates the business-to-business (B2B) barter mechanism under Pakistan’s import and export policy.
The framework promotes balanced transactions, allowing goods exchange based on the value equivalence of imports and exports.
This reform ensures transparency and strengthens trade relations with regional partners.
Customs to Oversee Quarterly Reconciliations
Customs authorities will now monitor all barter transactions on a quarterly basis.
Traders must reconcile import and export values every three months.
If reconciliation fails within the deadline, the trade permit will be canceled, ensuring strict compliance and accountability.
Simultaneous Imports and Exports Allowed
In a major shift, the government has removed the mandatory import-before-export condition.
Now, imports and exports can take place simultaneously, speeding up business operations.
This move aims to reduce delays and enhance trade efficiency.
Private Institutions Can Form Barter Consortiums
The new policy allows private institutions to create barter trade consortiums for joint operations.
However, non-compliant companies within these groups will face strict legal and tax actions.
Exporters Formally Included in the Framework
Exporters are now officially part of the updated barter system.
The government has also removed outdated clauses and added modern, flexible provisions to support business growth.
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