Bangladesh has reestablished direct trade with Pakistan after more than five decades, with the first shipment of 50,000 tonnes of rice departing from Port Qasim under a trade agreement between Islamabad and Dhaka.

Relations between the two countries have significantly improved since the interim government, led by Nobel laureate Muhammad Yunus, assumed power in Bangladesh. This followed mass protests that led to the removal of former Prime Minister Sheikh Hasina, who fled to India last August.

Previously a part of Pakistan, Bangladesh gained independence in 1971 after a nine-month war with Islamabad. The rice shipment marks the first instance of direct trade between the two nations in 54 years.

According to The Express Tribune, "For the first time, a Pakistan National Shipping Corporation vessel carrying government cargo will dock at a Bangladeshi port, representing a major milestone in maritime trade relations."

Initially, Bangladesh is purchasing 75,000 tonnes of white rice from the Trading Corporation of Pakistan at a rate of £395 per tonne. The remaining 25,000 tonnes are expected to arrive by early March. However, Dhaka appears to be paying a higher price for Pakistani rice compared to its imports from Vietnam, where it has been procuring rice at £375.63 per tonne.

In recent months, Bangladesh has been working to stabilize the rice market, as prices have surged by 15-20%.

This renewed trade partnership follows Bangladesh’s move in January to simplify the visa process for Pakistani nationals to enhance economic cooperation. The interim government removed the requirement for clearance from Dhaka for Pakistani heads of missions seeking visas, according to Bangladesh’s high commissioner to Islamabad, Iqbal Hussain.

Hussain emphasized that boosting trade and investment between the two countries should be a "top priority" for both Dhaka and Islamabad.