08.05.2025, 17:42
Kazakhstan Gains Access to Pakistani Ports: Transit Trade Agreement Signed
A Transit Trade Agreement has been signed, granting Kazakhstan access to Karachi and Gwadar ports
Kazakhstan is strengthening its position in the South Asian market following the signing of a Transit Trade Agreement with Pakistan during a business forum in Karachi. The document grants Kazakhstani cargo direct access to key Pakistani ports — Karachi and Gwadar — laying the groundwork for the development of new transport and logistics corridors.
According to the Ministry of Trade and Integration of the Republic of Kazakhstan, this agreement marks a strategic step toward expanding economic cooperation between the two nations. Emphasis is placed on the formation of alternative export routes — a critical move amid global instability and congestion of traditional transit pathways.
Data from the QazTrade Center for Trade Policy Development show that bilateral trade between Kazakhstan and Pakistan grew by 2.1% during 2023–2024, reaching $53.6 million. Kazakhstan's exports to Pakistan saw a 2.1-fold increase, amounting to $11.8 million.
Agricultural products form the core of these exports — primarily flax seeds and legumes. These goods are in high demand in the Pakistani market and offer Kazakhstan the potential to significantly increase export volumes in the near future.
Nevertheless, despite the positive dynamics, both sides continue to face a number of challenges. Chief among them is the high cost of logistics. The lack of direct routes and reliance on third-country transit make Kazakhstani products more expensive and less competitive.
The newly signed agreement is expected to transform this landscape. Access to Pakistani ports gives Kazakhstan a direct outlet to the Arabian Sea, simplifying logistics and reducing costs for producers and exporters. In the long run, this could serve as a catalyst for expanding trade volumes and diversifying the export portfolio.
Key Takeaways:
• A Transit Trade Agreement has been signed, granting Kazakhstan access to Karachi and Gwadar ports.
• Exports to Pakistan rose 2.1-fold, reaching $11.8 million, led by flax seeds and legumes.
• New routes reduce logistics costs and boost Kazakhstan’s competitiveness in South Asia.