IRAN was the first Muslim-majority country to recognize the newly established state of Pakistan in 1947. Diplomatic relations with Pakistan were established by Iran in the very next year: 1948. Pakistan’s first Prime Minister Liaquat Ali Khan visited Iran in May 1949, whereas, the Shah of Iran, became the first head of state to visit Pakistan in 1950. The two countries became part of defence pacts led by the US in the 50s.In this article, I posit to briefly discuss the history, the present, and the desired future relations between Pakistan and Iran. Effort will also be made to put the historical and religious linkages between the two nations under the spotlight. At the commencement of the cold war, both Iran and Pakistan joined the US-led capitalist bloc against the Soviet-led Communist or Socialist bloc. Both Pakistan and Iran joined the US-led Baghdad Pact (1955) which also included Iraq, Turkey and Brittan.
Iraq withdrew from the pact, after the revolution there in 1950; the Baghdad Pact was renamed as the ‘Central Treaty Organization (CENTO). In 1964, the three most prominent nations of West Asia; Pakistan; Iran and Turkey founded a regional organization called ‘Regional Cooperation for Development ‘(RCD). In 1985, after the dissolution of RCD, the three nations founded another organization named the Economic Cooperation Organization (ECO).Some tension between Pakistan and Iran on sectarian issues has simmered from time to time. Iran has been accused of helping Shia militant sectarian groups which has at times led to sectarian tension in Pakistan. Some scholars believe that Sunni militant organizations were largely created in response to the aggressive assertion of Shia militant groups, formed mainly after the Iranian Revolution of 1979.
During the Iran-Saudi acrimony, Pakistan maintained a neutral position between the two nations. Pakistan even offered to play the role of mediator between Saudi Arabia and Iran. But the offer proved to be a non-starter. In the 2018 – 2022, Imran Khan’s government offered the same mediating role between Iran and Saudi Arabia but without any success. The US influence on Pakistan also played a role in Pak-Iran relations. During the cold war, US may not have wanted Pakistan to have close relations with Iran. But Pakistan had leverage over US, because of Pakistan’s leading the pro-American Afghan Jihad. Due to the leverage, Pakistan opened a door for trade and military cooperation with Iran. In post-cold war period, this liberty was not available to Pakistan. Iran, because of its desire to go nuclear, was hit by heavy American economic sanctions. Similarly, after the derailment of democracy in Pakistan in 1999, Pak-Iran relations assumed a low level and became more tactical.
During the Musharraf regime, we saw low level bilateral engagement which followed in the period succeeding the Musharraf era. The Iran-Pakistan relations during the time were transitional and tactical. Although there were visits of Foreign Ministers and even heads of government between the two countries. It seems that structural constraints were the main roadblocks in improving relations between the two countries during the period. Instead of civilian interaction between the two countries, it was mainly the security and intelligence agencies of the two countries that interacted with each other. The security-centric considerations dominated the relationship between the two countries. Happenings around the Pak-Iran border in recent years corroborate the security centric approach.
Nationalistic narrative coiled around counter-terrorism has overshadowed economic initiatives between the two states, including the much-hyped Iran – Pakistan India gas pipeline (IPI). India later withdrew from the project which is now labelled as Iran-Pakistan gas pipeline (IP). Iran has complained to Pakistan for not constructing their part of the pipeline infrastructure. Iran has even demanded financial compensation from Pakistan for this lapse. I personally think that the area in which Pak-Iran relationship has lagged, has been mutual trade. Whatever trade takes place between the two countries, has been largely based on Pakistan importing goods and raw material from Iran. Quetta is also flooded with smuggled fuel and goods from Iran. Iran-Saudi Arabia rapprochement, facilitated by China, and the improvement of relations of Iran with Gulf countries has made doing business by Pakistan with Iran much easier. It was in these conditions that Prime Minister Shehbaz Sharif and Iranian President Ebrahim Raisi inaugurated a border market and an electricity transmission line at a border crossing between the two states on May 18. The two sides intend to build six border markets to promote bilateral trade as well as cooperation in transfer of energy to Pakistan.
As stated earlier the volume of formal trade between Iran and Pakistan has been rather low. In 2019 the size of official bilateral trade was $440 million of which $424 million were imports from Iran and $16 million were exports to Iran so thus there is a huge trade deficit against Pakistan that needs to be corrected. As far as energy is concerned, Pakistan imports 34.8MW of electricity from Iran. In June 2022 both sides agreed that Iran would supply an additional 100MW soon. It has also been agreed to improve road and rail connectivity. The success story here has been the Islamabad-Tehran-Istanbul (ITI) Cargo Train. This service has been revived after a gap of ten years in 2022. Every year around a million Pakistanis visit Iran for religious purposes. Several memoranda of understanding were signed between the two governments in early part of 2023 to encourage bilateral trade, energy, cultural, religious exchanges. On future of Iran Pakistan relations, scholars say Pakistan will need to proceed further. Circumstances like Iran-Saudi détente change in Pakistan’s policy in Afghanistan and cooling of Iran’s ties with India, all speak of better scope for improved relations between Pakistan and Iran. Pakistan would still require international collaboration and improved economic capabilities to meaningfully engage in a mutually profitable relationship with Iran.
—The writer, based in Islamabad, is a former Health Minister of KP.
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