For one kain throwback to di old days of trade by barter, Pakistan wey no get enough cash and Russia wey dey face sanctions don agree to exchange goods without money.

Di two countries don sign one big agreement, wey go make Russian company Astarta-Agrotrading supply 20,000 tonnes of chickpeas in exchange for di same amount of rice from Pakistan company Meskay & Femtee Trading. Other goods for di deal include lentils from Russia, wey dem go exchange for Pakistani mandarins and potatoes.

“Di potential for trade between di two countries dey big, and today na di beginning of new relationship with Russia,” na wetin Pakistani Privatization Minister Abdul Aleem Khan talk for one Pakistan-Russia trade and investment forum dis month.

As Russia dey face plenty wahala from di world because of di war for Ukraine, dis kind trade with Pakistan go help dem waka pass di sanctions wey dey affect dia money transactions.

For Pakistan side, di deal go help dem small as dia economy no dey strong. Islamabad dey try avoid pressure for dia foreign exchange reserves, and dem see dis cashless trade with Russia as better way to continue business.

Dis agreement get both good and bad sides, but e fit also show example for other countries wey dey face di same kind wahala with sanctions or cash flow.

Opportunities dey for di deal. E go open road for plenty Pakistani companies wey wan do business with Russia. Before dis deal, trade between di two countries no too dey. Sectors like textiles, leather, logistics, and tourism no get better chance to start trade wey no go break Western sanctions.

Di Astarta-Meskay deal go allow trade without using cross-border banking, so Pakistani agricultural companies fit exchange goods without fear of sanctions wahala.

But di economic wahala for Pakistan don reduce dia ability to make money and pay for imports. Political wahala, high inflation, and debt don make di matter worse.

Pakistan dey plan to increase trade with Russia to $4 billion for di next five years. Dem wan use agricultural products to connect more exporters to Russia economy without too much pressure on dia foreign exchange reserves.

For di region, dis deal fit encourage more trade agreements between di two countries. Russia dey also do similar agricultural trade with China and don give companies advice on how to do barter transactions.

Pakistan dey also look to do barter trade with Afghanistan and Iran. Di experience with Russia fit help dem learn how to do business with other countries wey dey face sanctions.

Dis go include importing crude oil, natural gas, vegetables, and industrial machines by expanding di barter system and involving both government and private companies.

But di barter trade between Russia and Pakistan get limits. Di agreement dey focus on agricultural products, but other sectors like energy need more value.

For example, Pakistan no fit use barter trade for big things like Russian liquefied natural gas (LNG). Di energy crisis for Pakistan dey serious, and dem no get export goods wey Russia go need.

As long as Pakistan dey depend on Russian logistics and food supplies, di barter trade no go too benefit both sides equally.

Di 2023 Business-to-Business (B2B) Barter Trade Mechanism wey Pakistan try for Iran, Afghanistan, and Russia still get wahala. Russian companies no too gree for di import-based barter system.

How di new agriculture deal go help Pakistan export more goods na wetin we go see later.

Di opportunities for di deal pass di challenges. But Pakistan need focus on how to grow dia export value. Over 60 Pakistani companies wan do more barter trade with Russia, but dia $500 million export value no dey strong enough.

For example, Indian companies dey push dia trade with Russia to $300 billion because of dia strength in energy, manufacturing, and fertilisers. Pakistan fit use dis agriculture deal to invest in dia agri-food sector and bring more companies join.

Russia fit help Pakistan with high-end agricultural technology like mechanised farming to boost crop production. Dis fit help increase exports and expand di kind agricultural products wey dem fit trade.

At di end, di opportunities for dis historic barter deal between Pakistan and Russia pass di challenges. Even if e no fit expand trade too much, e fit show other countries how to do commodity exchange with sanction-hit economies like Iran and Afghanistan.