Pakistan and Afghanistan have signed an Early Harvest Programme (EHP) to reduce tariffs on eight key agricultural products for one year starting August 1, marking a major step toward a broader Preferential Trade Agreement (PTA).
Under the EHP, tariffs on four Afghan exports to Pakistan — grapes, pomegranates, apples, and tomatoes — and four Pakistani exports to Afghanistan — mangoes, kinnows, bananas, and potatoes — will drop from over 60% to 27%. The deal is renewable and allows for the inclusion of more items in the future.
The agreement was signed in Islamabad by Pakistan’s Commerce Secretary Jawad Paul and Afghanistan’s Deputy Minister Mullah Ahmadullah Zahid, who led a technical delegation to revive stalled PTA talks.
Talks began in 2014 but stalled under President Ashraf Ghani due to disagreements over Indian trade via the Wagah border. The new agreement is expected to revive those discussions.
Pakistan has also allowed rupee trade and limited barter to support Afghanistan amid its financial crisis. Trade between the two countries has surged, with Pakistan’s exports to Afghanistan rising 38.68% in FY25, led by over 700,000 tonnes of sugar.