Indo Pak Relations

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Indo-Pakistan Trade
Its Potential and Impacts

(BACHELOR’S OF FINANCIAL AND INVESTMENT ANALYSIS)
(2nd YEAR)

INTERNATIONAL FINANCE PROJECT

MANU SHARMA (16012) PARTHSARTHI GUPTA (16025) NIKITA (16030) SUDHANSHU TYAGI (16042)

SHAHEED SUKHDEV COLLEGE OF BUSINESS STUDIES

ACKNOWLEDGEMENT
We owe a great many thanks to a great many people who helped and supported us during the project. The project benefited from reviews and comments of Mr. Kumar Bijoy who always guided us with his knowledge in the rather difficult subject of International Finance. This project would not have been possible without the basic and advanced inputs provided by him. He has taken pain to go through the project and make necessary correction as and when needed. The credit for this project not only goes to the members of the group but also many other people who contributed for the project and helped us to complete it and on time. We would also like to extend their acknowledgement to our other teachers for their valuable support and guidance and for solving our doubts as and when they arrived. We are also thankful to our Institution and our faculty members who supported us with their valuable suggestion time to time and were always eager to participate with us in the proceeding of the project.

Table of Contents
INTRODUCTION ....................................................................................................................................... 1 India And Pakistan: Current Trading Status ............................................................................................ 2 Agreement on South Asia Free Trade Area (SAFTA) ............................................................................... 4 Effects on Indo-Pak trade.................................................................................................................... 4 The Trade Potential: An Opportunity ..................................................................................................... 6 Informal Trade .................................................................................................................................... 9 Trade through Third Countries ......................................................................................................... 11 Major routes ................................................................................................................................. 11 Minor Routes ................................................................................................................................ 12 BARRIERS TO TRADE: THE STUMBLING BLOCKS ................................................................................... 13 1. 2. i. ii. iii. iv. v. vi. vii. viii. ix. x. TARIFF BARRIERS ....................................................................................................................... 13 NON TARIFF BARRIERS .............................................................................................................. 13 HUMAN MINDSET ................................................................................................................. 13 POLITICAL RELATIONS ........................................................................................................... 13 IMPORT SUBSTITUTION POLICIES ......................................................................................... 14 POSITIVE LIST ........................................................................................................................ 15 ‘MOST FAVOURED NATION’ STATUS .................................................................................... 16 VISAS ..................................................................................................................................... 16 TRADE FACILITATION AND CUSTOMS PROCEDURES ........................................................ 17 CUSTOMS PROCEDURES AND ADMINISTRATION...
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