AFGHAN TRANSIT TRADE AGREEMENT AND USE OF PORT BIN

UNCLAS SECTION 01 OF 02 ROME 002030 SIPDIS UNCLASSIFIED PAGE 02 ROME 02030 01 OF 02 260820Z FROM U.S. MISSION IN ROME AMEMBASSY ISLAMABAD FOR AMBASSADOR AND USAID STATE FOR A/S/SA, A/S/PRM, A/S/IO USAID FOR AA/DCHA, AA/ANE, DCHA/FFP AND USAID/ALMATY USDA/FAS FOR MCHAMBLISS/RTILLSWORTH GENEVA FOR RMA AND NKYLOH/USAID BRUSSELS FOR KFULLER AND KDEBLAW USUN FOR LSHESTACK NSC FOR JDWORKEN E.O. 12958: N/A TAGS: EAID EAGR AORC PREF EAGR AORC PREF EU WFP UN EU EAID WFP UN AFGHANISTAN SUBJECT: AFGHAN TRANSIT TRADE AGREEMENT AND USE OF PORT BIN QASIM, PAKISTAN -------------- SUMMARY -------------- ¶1. WFP'S INTERNATIONAL CARGO SURVEYOR IN KARACHI SUGGESTS THAT THE 1965 AFGHAN TRANSIT TRADE AGREEMENT BE AMENDED TO INCLUDE PORT BIN QASIM. THIS MODERN PAKISTANI PORT FACILITY, BUILT IN THE MID-1970S, COULD HELP FACILITATE MOVEMENT OF MATERIAL FOR THE AFGHAN RECONSTRUCTION EFFORT. END SUMMARY. -------------- BACKGROUND -------------- ¶2. USMISSION HUMANITARIAN ATTACHE TIM LAVELLE SPOKE WITH JAY UNCLASSIFIED PAGE 03 ROME 02030 01 OF 02 260820Z KOTECHA (FINANCE DIRECTOR) OF THE INTERNATIONAL FORWARDING AGENCY (PVT) LTD (IFA),BASED IN KARACHI, WHO WAS ATTENDING THE WORLD FOOD PROGRAM'S SECOND ANNUAL SHIPPING CONFERENCE HELD IN ROME APRIL 18-19. IFA HAS BEEN WFP'S GENERAL SUPERINTENDENT (SURVEYOR) IN KARACHI FOR THE PAST 32 YEARS. ¶3. KOTECHA BRIEFED ON ASPECTS OF THE AFGHAN TRANSIT TRADE AGREEMENT SIGNED ON MARCH 2, 1965 BY THE GOVERNMENTS OF PAKISTAN AND THE KINGDOM OF AFGHANISTAN FOR REGULATION OF TRAFFIC IN TRANSIT FROM PAKISTAN TO AFGHANISTAN. IN THIS AGREEMENT, ONLY KARACHI PORT WAS MENTIONED AS A PAKISTANI PORT POINT OF ENTRY, WITH NO FLEXIBILITY FOR INCLUSION AT A FUTURE DATE OF ADDITIONAL PORTS DEVELOPED ALONG THE PAKISTANI COAST LINE. ¶4. IN THE EXTANT AGREEMENT, THERE ARE TWO PREREQUISITES FOR ALLOWING A PORT TO HANDLE AFGHAN TRANSIT TRADE CARGO, WHICH ARE: A) SEPARATE SHED(S) TO STORE THE CARGO, AND B) A RAILWAY LINK FROM THE PORT TO THE DESIGNATED PAKISTANI BORDER EXIT POINTS OF PESHAWAR AND CHAMAN. -------------- PORT BIN QASIM -------------- ¶5. AS PER KOTECHA, PORT BIN QASIM CAME INTO OPERATION IN MID 1970'S FOR BULK CARGO, AND NOW HAS A MODERN TERMINAL FOR CONTAINERIZED VESSELS - CAPABLE OF HANDLING MOTHER VESSELS INSTEAD OF FEEDER VESSELS. WITHIN THE CONFINES OF THE PORT, UNCLASSIFIED PAGE 04 ROME 02030 01 OF 02 260820Z THERE ARE AMPLE AREAS AVAILABLE, WHICH COULD BE ALLOCATED FOR EXCLUSIVE HANDLING OF AFGHAN TRANSIT TRADE CARGO. IN KOTECHA'S VIEW, FOR THE REBUILDING OF AFGHANISTAN IT IS ADVISABLE TO HAVE A SECOND PORT (SUCH AS BIN QASIM) TO HANDLE AFGHAN TRANSIT TRADE. BIN QASIM MEETS THE TWO PREREQUISITES MENTIONED ABOVE. NOTE: WFP HAS EXTENSIVELY USED THIS PORT FOR BULK GRAIN SHIPMENTS FOR APPROXIMATELY 13 YEARS. END NOTE. ¶6. KOTECHA OPINED FURTHER THAT THE FACILITIES PRESENTLY AVAILABLE AT KARACHI PORT WOULD BE HEAVILY STRETCHED TO ALONE HANDLE THE ANTICIPATED INFLUX OF SHIP CARGO FOR AFGHANISTAN. -------------- COMMENT -------------- ¶7. IF THE AFGHAN TRANSIT TRADE AGREEMENT CONTINUES, USMISSION FEELS THAT THE PORT BIN QASIM OPTION MIGHT BE PROFITABLY EXPLORED BY THE INTERNATIONAL COMMUNITY. BOTH IFA AND WFP HAVE OFFERED TO ACCOMPANY ANY ASSESSMENT TEAM UNCLASSIFIED UNCLASSIFIED PTQ9202 PAGE 01 ROME 02030 02 OF 02 260820Z ACTION EUR-00 INFO LOG-00 NP-00 AID-00 AMAD-00 CIAE-00 WHA-00 SRPP-00 EAP-00 EB-00 UTED-00 TEDE-00 INR-00 IO-00 NEA-00 NSAE-00 NSCE-00 OES-01 OIC-02 TEST-00 SA-00 PRM-00 SAS-00 /003W -------------- 8BF1BC 260827Z /38 P 260712Z APR 02 FM AMEMBASSY ROME TO SECSTATE WASHDC PRIORITY 3429 AMEMBASSY ISLAMABAD PRIORITY INFO AMEMBASSY KABUL EU MEMBER STATES COLLECTIVE AMEMBASSY TASHKENT AMEMBASSY NEW DELHI AMEMBASSY DUSHANBE AMEMBASSY ASHGABAT AMEMBASSY ALMATY AMEMBASSY OTTAWA AMEMBASSY BERN AMEMBASSY TOKYO USDA FAS WASHDC 2111 USEU BRUSSELS 2640 USMISSION GENEVA USMISSION USUN NEW YORK UNCLAS SECTION 02 OF 02 ROME 002030 SIPDIS UNCLASSIFIED PAGE 02 ROME 02030 02 OF 02 260820Z FROM U.S. MISSION IN ROME AMEMBASSY ISLAMABAD FOR AMBASSADOR AND USAID STATE FOR A/S/SA, A/S/PRM, A/S/IO USAID FOR AA/DCHA, AA/ANE, DCHA/FFP AND USAID/ALMATY USDA/FAS FOR MCHAMBLISS/RTILLSWORTH GENEVA FOR RMA AND NKYLOH/USAID BRUSSELS FOR KFULLER AND KDEBLAW USUN FOR LSHESTACK NSC FOR JDWORKEN E.O. 12958: N/A TAGS: EAID EAGR AORC PREF EAGR AORC PREF EU WFP UN EU EAID WFP UN AFGHANISTAN SUBJECT: AFGHAN TRANSIT TRADE AGREEMENT AND USE OF PORT BIN QASIM, PAKISTAN WISHING TO EVALUATE PORT BIN QASIM FACILITIES. THE BEST POINT OF CONTACT FOR FOLLOW UP IS WFP/PAKISTAN. ¶8. MINIMIZE CONSIDERED. HEILEMAN UNCLASSIFIED > 2002ROME02030 - Classification: UNCLASSIFIED