ISLAMABAD, July 23 -- In a landmark step to improve economic ties, Pakistan and Afghanistan have signed a Preferential Trade Agreement (PTA) that aims to reduce tariffs and boost bilateral trade. The agreement was signed in Islamabad by Afghanistan's Deputy Minister for Commerce and Industry, Ahmadullah Zahid, and Pakistan's Commerce Secretary, Jawad Paul.

Under the new agreement, tariffs on select goods will be slashed from 60% to 27%, easing trade barriers between the neighboring countries. The PTA will take effect from August 1, 2025, and will remain valid for one year, with the possibility of extension upon mutual agreement. Officials say this move will create more favorable conditions for cross-border trade and support farmers and e...