ISLAMABAD, May 29 (APP/DNA):Minister for Planning, Development and Special Initiatives Professor Ahsan Iqbal on Thursday invited Central Asia Regional Economic Cooperation (CAREC) member states to integrate their value chains with Pakistan’s Special Economic Zones (SEZs) and explore opportunities for cross-border industrial clusters, leveraging Pakistan’s preferential trade agreements with China, ASEAN and the Middle East.

He extended this invitation while addressing the inaugural ceremony of the fifth annual two-day CAREC Institute Research Conference, held in collaboration with the University of Sargodha (UOS).

Themed “CAREC Connectivity: Promoting Trade and Trade Facilitation,” the conference brought together a diverse group of national and international stakeholders.

Co-organizers of the event included the Islamic Development Bank (IsDB), Pakistan Single Window (PSW), Allama Iqbal Open University (AIOU), International Road Transport Union (IRU), Development Alternatives, Inc. (DAI), Sustainable Development Policy Institute (SDPI), Pakistan International Freight Forwarders Association (PIFFA), and the ECO Science Foundation (ECOSF).

He said the conference was ‘timely and essential’ as in a world reshaped by climate shocks, geopolitical shifts, and technological disruptions, regionalism was emerging as the new realism.

“Today, intra-regional trade among CAREC countries (excluding China) accounts for only 7% of total trade. In contrast, ASEAN countries trade over 22% among themselves,” he said.

This disparity, he said was not due to geography – it was due to underdeveloped logistics, fragmented regulatory frameworks, and limited institutional coordination.

“Geography is not destiny. It is opportunity – if we choose to seize it,” he said quoting a famous economist Paul Collier as saying.

The CAREC region, Ahsan Iqbal said, with a population of nearly two billion and vast reserves of energy, minerals, and talent was not short on potential, stressing the need for a unified development strategy backed by collective action.

Sharing Pakistan new development vision ‘URAAN Pakistan,’ the minister said the vision was based on five strategic pillars including Exports, Equity and Empowerment, E-Pakistan, Environment, Energy and Infrastructure.

This strategy, he said was not isolated from regional ambitions rather aligned fully with CAREC Vision 2030.

Under URAAN, he said, Pakistan was expanding high-value exports like IT, Halal food, and engineering goods. Pakistan’s IT exports, for example, have crossed $3.5 billion and are growing at 20% per year, empowering youth through digital skills, mobilizing green investment, with 10 GW of solar projects in the pipeline under the Special Investment Facilitation Council (SIFC), positioning Pakistan as a trade and logistics hub, connecting CAREC to maritime trade via Gwadar and Karachi besides facilitating in trade – From Intent to Implementation.

The minister said, Pakistan Single Window (PSW) has reduced customs clearance time from 8 days to less than 48 hours. “It is now being expanded to integrate with Central Asian corridors, making it a model for CAREC-wide digital trade interoperability.”

Under the TIR Convention, he said, Pakistan has facilitated hundreds of cargo movements from China to Central Asia and the Middle East, reducing transit costs by up to 30 percent and time by up to 50 percent.

However, he mentioned some confronted obstacles like non-harmonized documentation, slow border procedures, and insufficient infrastructure at transit points, adding that regional harmonisation of standards, tariffs, and digital protocols must now be the forum’s top priority.

“As CAREC economies deepen trade with the GCC and beyond, intermodal transport will become the backbone of integration. Pakistan’s agreement with DP World and NLC is already enabling multimodal cargo movement between Central Asia and the UAE via Pakistan’s ports,” he added..

Describing China-Pakistan Economic Corridor (CPEC) as a regional connectivity asset, he said over 3,000 kilometers of roads have so far been constructed or upgraded, 11 GW of power generation added to the national grid, while Gwadar port was being developed as a regional gateway, with a Free Zone attracting international investors.

“CPEC Phase II focuses on industrial cooperation and Special Economic Zones (SEZs). These zones offer joint venture opportunities for CAREC partners in manufacturing, food processing, and logistics,” he said.

He said energy was the lifeblood of connectivity, so Pakistan was pushing ahead with regional projects like CASA-1000, linking Kyrgyz and Tajik hydropower to Pakistan and Afghanistan.

Embracing green energy, the minister said over 30 percent of new energy investments in Pakistan were in solar, wind, and hydro, adding Pakistan’s National Solar Energy Initiative aimed at installing 10,000 MW of solar power by 2027.

“We propose establishing a CAREC Green Energy Corridor—connecting producers in the north with consumers in the south. Let this be our joint contribution to global climate goals and regional prosperity,” he said.

Under E-Pakistan, Ahsan Iqbal said Pakistan was digitising public services and customs, creating a regulatory sandbox for fintech and startups, and supporting freelancers and digital entrepreneurs, who already earned over $1 billion in remittances in 2024.

“We envision a CAREC Digital Trade Corridor—an interconnected system of e-customs, smart logistics, and digital certification that facilitates real-time, paperless trade.”

He said regional integration must begin with regional trust that was built by people, suggesting harmonising education standards across CAREC, facilitating students and faculty exchange programs, and supporting the CAREC Think Tank Network, so research could drive policy.

Pakistan, the minister said, was working to align industrial policy, skills training, and logistics education with regional market demands, adding “we are also expanding visa facilitation for business and academic travellers.”

He stressed building a CAREC region that connected not only goods and services, but aspirations and opportunities.

“Pakistan reaffirms its full and unwavering commitment to the CAREC agenda. We are ready to be your partner, your bridge, and your ally in this journey. Let us dream big, plan together, and deliver boldly,” the minister said.