Pakistan with its large population, an efficient labour, huge natural resources base and a strategic location can promote huge transit trade between a large number of countries and regions including the Central Asia , China, the Middle East, the Southeast and the densely populated Saarc countries.

A chain of warm water ports on the mouth of the Persian Gulf along with modern transport and communication facilities would surely make Pakistan a huge business hub in the 21st century. This is why the deep-see port of Gwadar is already attracting global attention.

A deep-water channel more than 14 km long will permit large vessels to anchor, and could potentially woo away the transit trade from neighbouring port cities.

The port will provide an alternative trans-shipment facility for both West and East bound cargoes and oil shipments, which, so far originate from Dubai or Salalah ports.

A master plan is in preparation that includes a modern airport, and elaborate network of roads linking Gwadar with the country's main cities in the east and north, along with a tax free export processing zone and an industrial estate. A highway connecting the port with the Central Asian states is also on the cards.

The Asian Development Bank made a commitment to lend up to $ 500 million for regional roads. For China, the second stake holder in the project, the port offers a strategic toehold in the energy rich region and provides an alternative trade link to its western provinces.

Xinjiang lies 4,500 km from China's east coast but just 2,500 km from Gwadar. This will make it possible for China to route some of its external trade through Gwadar port.

But the ultimate success of the port hinges on its usage by the states of the former Soviet Union. And in this respect, cooperation with Afghanistan, which lies between Pakistan and Central Asia, is critical.

The port will surely serve as the most crucial business and economic links between Pakistan and Afghanistan. Although presently a war ravaged country, Afghanistan has every potential, both in terms of human and natural resources to become one of the richest countries in Asia once its chaotic conditions settled down.

According to some recent UN reports, Afghanistan has the largest and sole deposits of lithium, huge deposits of gold, more than 10 billion tons of iron ore, largest deposits of copper and fossil energy. Pakistan's bilateral trade with Afghanistan is increasing at the rate of more than 30 percent per annum.

Pakistan projects a $1 billion trade with Afghanistan in 2004- 05. The two-way trade totalled $620 million during January- December 2003 including $580 million exports from Pakistan.

The transit trade during this period also registered a 30 percent growth to a total of$ 300 million. Export of cement and other construction material registered a major increase from Pakistan, besides cereals, household goods, consumer items etc were also prominent.

The two countries have already resumed air links. The Pakistan Railways has been conducting a feasibility study for lying railway track between Chaman and Kandahar.

Pakistan has been in a process to construct Torkham-Jalalabad road to expand road links with Afghanistan. It also plans to open a third land route for trade with Afghanistan at Ghulam Khan, in addition to Chaman - Torkhum road.

Pakistan is focusing on improved road, rail and air linkages with Afghanistan and Central Asian states for promotion of trade and economic relations with the region.

Banking linkages with Afghanistan are also expanding. The National Bank of Pakistan (NBP) has already got license to open up branches. More banks may follow suit.

Pakistan has also been providing technical assistance to Afghanistan in various sectors, including education, customs, banking and financial services etc.

The great Central Asian region that includes Uzbekistan, Turkmenistan, Tajikistan, Kyrgyzstan. Kazakistan and Caspian sea area are endowed with huge reserves of fossil fuel, that are un- utilized as yet.

According to some estimate this vast region contains up to 250 billion barrels of petroleum and one of the largest reserves of natural gas. Other mineral resources including chrome, coal, copper, iron ore, zinc gold etc. are also abundantly found.

As the fossil fuel reserves elsewhere are rapidly depleting the fuel hungry world is focusing on this region. A number of dream pipeline projects are already at various stages of developments, including the one that would pass through Afghanistan and Pakistan.

Pakistan being an energy deficient country, may also import cheap oil, gas and electricity from various Central Asian states. Once the exploration and exports of fossil fuel begin and the wheels of economic development start moving in high gear, the Central Asian states would require multiple outlets to connect themselves with the outside world.

A modern deep-sea port like Gwadar, with adequate communication links and ancillary facilities would be a preferred transit destination for may Asian, African and Pacific region countries. Some experts even estimate that Pakistan could earn up to $60 billion per annum out of transit trade alone if she can create all the required facilities.

Pakistan with its modern transit facilities sea ports and long distance pipelines networks would also supplement development efforts of the Saarc countries.

The energy deficient Sarrc has a vast area of 4.5 million square km and a population of 1.4 billion, or one-fourth of the global inhabitants. The Saarc charter of economic development and cooperation emphasises accelerated economic growth, improve quality of life, health, education, human resources development and poverty alleviation.

South Asia remains one of the poorest regions of the world. More than one-third of Saarc people are living in abject poverty, one quarter go to bed hungry, one-fifth of our children are out of primary school and almost one-tenth of our children die before age five. The region however, comprises one of the largest markets in the world.

To reduce the present level of poverty, the region must achieve an annual growth rate between 6-8 percent, requiring huge investment, capital goods and energy. The future sources of fossil fuel and other energies for Saarc would be the Central Asian states. Pakistan can provide the transit routes to the Saarc countries.

Without a significant industrial base and an advanced agriculture sector Pakistan will be hard-pressed to survive in an ever-more competitive global economic order.

But its strategic geographical location, its huge and efficient workforce and its emerging warm water sea ports could prove useful assets in a world increasingly being driven by trade and commerce.