Tuesday, August 03, 2010

Afghans sign trade pact with Pakistan

Afghanistan and Pakistan signed a landmark trade agreement on Sunday, auguring a thaw between these two perennially suspicious neighbors and handing the Obama administration a rare victory in its beleaguered war effort in Afghanistan.

The United States had prodded the two countries to sign the accord, calculating that it would bolster the Afghan economy by expanding its trade routes and curbing rampant smuggling. The pact would cover a multitude of trade and transit issues, ranging from import duties to port access.

Trade negotiations have dragged on fitfully since 1965, interrupted by wars, political coups, mutual distrust and the long shadow of India, which is not a party to the deal. The accord must still be ratified by the Afghan Parliament.

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