Australia and Pakistan are set to deepen economic cooperation, with a modernised bilateral investment treaty expected to be finalised by December and Canberra seeking greater Pakistani exports and investment in the Australian market. Australian High Commissioner Timothy Kane disclosed these plans during a meeting with Lahore Chamber of Commerce and Industry (LCCI) President Fahim Ur Rehman, where the two sides discussed ways to expand bilateral trade and investment and develop cooperation in agriculture, livestock, education, vocational training, mining, pharmaceuticals, biotechnology, and other emerging sectors.

Referring to the Pakistan-Australia Joint Trade Committee meeting held in Canberra last August, Kane said a number of issues had been raised and were being considered by both sides. One of the key issues was improved market access for Pakistani mangoes in Australia. The two countries were also negotiating a modernised bilateral investment treaty to replace the agreement that had been in force since 1998.

The negotiations have been continuing for some time, and the high commissioner said he was hopeful that the new agreement would be finalised by December. The treaty, he added, would make a difference by sending a positive signal to Australian investors considering investment in Pakistan. Kane said Canberra was optimistic about the changes the modernised agreement could bring to the bilateral investment relationship.

He agreed with the LCCI president that the relationship had to be a two-way street, with Australia not only exporting to Pakistan but also helping Pakistani businesses increase their exports and investment in Australia. The high commissioner said he saw considerable potential for Pakistani apparel in Australia and believed businesses could remain competitive despite the geographical distance between the two countries. He also called for greater Australian investment in Pakistan, particularly in the mining and resources sector.

Kane said Australian agricultural trade with Pakistan had reached almost A$1 billion last year. Australia supplies Pakistan with large quantities of chickpeas, canola, and other pulses. The two countries were also preparing to expand cooperation in pulses. Kane said a Pakistani delegation would travel to Australia the following month specifically to study pulse production, new varieties, and production techniques. Kane said work on a pilot project was being undertaken in Lahore on technical skills. The proposed vocational training programme would initially be launched as a pilot for 1,000 students in bricklaying, floor and wall tiling, and carpentry. If successful, Australia intends to work with the relevant authorities to expand it to 24,000 students.