Azerbaijan-Pakistan’s Bilateral Relations: A Total Transformation (II)

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Mehmood Ul Hassan Khan

Both countries accord high priority to deepen historical and cultural bonds are committed to expand cooperative relations.
Since Azerbaijan and Pakistan have now decided to transform their relationship into a strategic partnership and agreed to promote bilateral cooperation in the areas of economy, energy, security, trade, tourism, transport, science & technology, environment, sports, culture and education, following suggestion are given for the further strengthening of bilateral relations:
(a) The Republic of Azerbaijan is the crossroads of Eastern Europe and Western Asia. Azerbaijan, also known as the “Land of Fire”, is a country with a fascinating history and unique cultural heritage which needs to be explored through FDIs and joint ventures in the preferred areas of energy, infrastructure, science & technology, education and the last but not the least, textiles etc.
(b) Azerbaijan is the gateway between East and West, sitting on the edge of Europe and Western Asia. Azerbaijan played an important role as part of the Silk Road and is now equally important as part of the Transport Corridor Europe-Caucasus-Asia (TRACECA) Project. The government of Pakistan must initiate steps to project the trans-continental strategic importance of China-Pakistan Economic Corridor (CPEC) and tries to get connected.
(c) The cooperation between the two states extends to every sphere ranging from political, economic, technological, security to cultural arenas. Azerbaijan and Pakistan are enjoying good relations that describe them as “friendly and brotherly” countries which need to be widened and diversified in terms of bilateral trade volumes, economic ties and investments etc.
(d) The level of annual trade between the two countries in the last many years does not correspond with the level of existing mutual political and economic goodwill between the two nations in many products which must be further enhanced through rigorous commercial diplomacy, active role of chambers of commerce, preferential incentives of investments and doing business and above all joint ventures.
(e) Direct aviation link would accelerate socio-economic interaction and also enhance volumes of trade. Islamabad-Baku-Istanbul or Islamabad-Baku-London would be ideal connecting links for both the countries.
(f) Over 40 Memorandum of Understandings (MOU’s) have been signed but most of them have not been followed up. There is an urgent need to establish a “Follow-Up/Implementation Mechanism” between the two countries for the further strengthening of trade volumes.
(g) There is lack of proper communication and effective linkages between the local business communities of both the countries which need to be fostered and streamlined.
(h) There are a number of bright prospects of investment & trade opportunities enhancing effective economic linkages among the two countries but somehow, both countries fail to anticipate such initiatives. Furthermore, there is lack of awareness about the shining opportunities in both the Governments and business communities which must be limelight for the further strengthening of trade volumes.
(i) There is absence of joint Chamber of Commerce and Industry of both the countries which must be established as soon as possible.
(j) Keeping in view the market requirements, Azerbaijan’s consumer preferences, competitors’ strategies, and an integrated product focused approach is devised to enhance Pakistan market share in this Azerbaijan. Selection of product sectors of Pakistan has been made on the basis of competitive advantages, production base, global acceptability and market demand. At the first stage five product sectors including Textile especially Home Textiles, Leather, Food, Sports Goods and Surgical Instruments have been identified. So, all trade and investment promotion activities would be primarily focusing these sectors.
(k) In Azerbaijan, the policy making is being carried out and implemented with a triangular thought process of Academia, Innovation and the Government which should be pursued at highest level to promote trade and commerce activities.
(l) There is great scope and market for joint ventures in pharmaceutical industry, chemistry & mechanical engineering, metallurgy, food processing industry, light industry and other areas which must be tapped and widened which would provide win-win propositions for both the countries.
(m) There is great scope for education and cultural cooperation which must be pursued as soon as possible.
(n) Both countries share strong politico-military ties. Now, there is an urgent need to further strengthen military cooperation beyond the already customary military personnel trainings, ad hoc common military exercises and mutual visits and discussions. Annual regular meetings between Working Groups on military should now lead to a combined military and defence cooperation committee of equal participation to deal with all aspects of the security sectors? cooperation; and be able to implement strategic provisions of the proposed bilateral military cooperation agreement.
(o) Moreover, a series of regular military exercises between the two countries should be conducted which could be extended to include land, air and naval forces, as well as air defence and strategic planning. Both countries should consider enlarging the scale of mutual exchange of military personnel for training and military education.
Concluded