Rescuing CBMs

When Srinagar-Muzzafarabad road was thrown open in 2005, it was hailed as the biggest Confidence Building Measure between the two countries. But six years down the line, there is little that has changed. Even though there were other cross-LoC roads that were thrown open and later trade was also started, the potential of the road as a game-changer in lingering Kashmir logjam has yet to be realized. Fewer passengers have traveled across on both sides than was expected and too little trade has taken place. The numbers of  travelers has only dwindled over the years. The bus has so far only helped unite around 16000 families which makes the number of people who travel across less than 3000 a year. The number of travelers along Srinagar-Muzaffarabad road is even worse. Only 4,000 Kashmiris from Pakistan have crossed over into this side of Kashmir whileas 2,400 Kashmiris  have gone to Pakistan administered Kashmir. Only 26 passengers crossed the LoC on May 5. This is because the passengers continue to go through a cumbersome procedure to get permission from both governments to cross the LOC. This discourages  people from undertaking the travel. It takes months for the intelligence agencies to verify visa applications leading to delays. Besides, only those applicants with close relatives on the other side are allowed to travel. There is also a ban on the officials from Pakistan traveling across the border into this side of the state. As a result, only a limited number of people from both sides have benefited from opening of the road. Though there has been a longstanding demand to simplify visa regimes, India and Pakistan have so far  refused to take steps in this direction.  And so far as the trade between two Kashmirs is concerned, things don’t look up here either.  The total LoC trade in the state up to January 2010 has  been Rs 116.69 crore including Rs 52 crore from Kashmir Division and Rs 64.69 crore from Jammu Division. The trade which is restricted to duty-free access to twenty one items has faced many difficulties. The traders in Jammu have suspended the trade across Chakan-Da-Bagh in Poonch district for another two weeks in protest against the government slapping Sales Tax and VAT on the trading commodities. What is more, despite several years in operation, the trade across LoC  continues to be through barter system. And the lack of communication facilities has only made it worse.  This is why the state government’s indication that the banking facilities would soon be set up to facilitate the trade assumes importance. The finance minister Abdur Rahim Rather has said that the Reserve Bank of India  has framed a comprehensive scheme for the LoC trade which is under the serious consideration of the Governments of India and Pakistan. He said that once the scheme gets the nod, the banking facilities would be put in place as per the urges and aspirations of the traders. Rather  also said that the state government was lobbying with the center for inclusion of more items in the existing trade with PaK. So far the items traded include fresh & dry fruits, vegetables, aromatic and herbal plants and flowers produced in the state.  Now the question is whether the two countries will be inclined enough to speed up the process of simplifying visa regimes for the smooth LoC travel and the establishment of banking and communication facilities to give the “big boost” to the trade.  Given the way the two countries have treated their CBMs over the past some years, any redeeming change in their behaviour looks in doubt.  But it is in recovering for us the original symbolic value of these measures that the test lies for the capacity of the two countries to come to terms with each other.  It is hoped that Rather’s assurance on finally removing the bottlenecks on trade is carried through.  Once done to the satisfactions of the traders concerned, this will naturally inspires fresh faith in the dialogue process between India and Pakistan and develop people’s stake in it.

Lastupdate on : Wed, 11 May 2011 21:30:00 Makkah time
Lastupdate on : Wed, 11 May 2011 18:30:00 GMT
Lastupdate on : Thu, 12 May 2011 00:00:00 IST




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