Pakistan operationalises ‘Gabd Border Terminal’ transit corridor with Iran, reducing reliance on Afghanistan

KARACHI: Pakistan has operationalised a new transit trade corridor through Iran by activating the Gabd-Rimdan border terminal, marking a major step toward strengthening regional connectivity and reducing reliance on the traditional Afghanistan route.

The development comes amid growing calls within the country to expand trade with Iran, particularly as global supply chains face disruptions due to tensions affecting the Strait of Hormuz.

Pakistan recently dispatched its first export consignment from Karachi to Tashkent under this new corridor, signalling the formal launch of the route linking South Asia with Central Asia.

The Gabd-Rimdan border terminal—located between Gabd in Balochistan, Pakistan, and Rimdan in Iran’s Sistan-Baluchestan province—is a strategically upgraded crossing equipped with modern scanning systems and facilities supporting the Transports Internationaux Routiers (TIR) framework. The terminal became operational for containerised and refrigerated cargo in April 2026.

Developed by the National Logistics Corporation (NLC), the terminal enables efficient cargo movement through Iran to Central Asian states, offering a shorter, safer, and more modern alternative to routes passing through Afghanistan.

The inaugural shipment, consisting of frozen meat, was transported under the TIR system, which facilitates seamless cross-border trade by reducing delays and lowering transportation costs. After customs clearance, the consignment proceeded through Iran en route to Uzbekistan.

An inauguration ceremony was held in Karachi, attended by senior customs officials and representatives from the logistics sector, who described the initiative as a milestone in enhancing trade connectivity between Pakistan, Iran, and Central Asia.

Officials said the corridor provides exporters with a cost-effective and reliable route to access landlocked Central Asian markets, particularly Uzbekistan, while significantly reducing transit time.

Economic experts noted that the new corridor will help diversify Pakistan’s export routes beyond China and Afghanistan, enabling increased trade with Central Asia via Iran. The shorter distance and improved logistics are expected to reduce costs, enhance efficiency, and boost overall trade volumes.

They also emphasised that the development positions Pakistan as a potential regional connectivity hub, offering direct access to Central Asian markets and strengthening its role in regional geo-economics.

President of the Federation of Pakistan Chambers of Commerce and Industry (FPCCI), Atif Ikram Sheikh, termed the initiative a “remarkable achievement,” expressing optimism that it would open new avenues for regional trade and economic integration.

President of the Gwadar Chamber of Commerce and Industry (GCCI), J. Hoth, described the first shipment to Uzbekistan via Iran as a milestone, adding that Gwadar is emerging as a key hub connecting South Asia with the Middle East and Central Asia.

“Gwadar has the potential to become the centre of regional economic activity, linking Pakistan with global markets,” he said.

Meanwhile, President of the Islamabad Chamber of Commerce and Industry (ICCI), Sardar Tahir Mehmood, highlighted the importance of regional economic integration in strengthening Pakistan’s economy. He noted that the Iran transit route would accelerate trade and enhance economic cooperation across the region.

The launch of the corridor reflects Pakistan’s broader strategy to diversify trade routes, reduce dependency on single transit pathways, and expand economic engagement with neighbouring regions.

Experts also believe that the Gabd-Rimdan corridor—located near Gwadar Port—has the potential to evolve into a major trade gateway in the future, further boosting Pakistan’s regional trade footprint.