Prospects for Barter Trade between Russia and Pakistan

Abstract

The article explores promising areas for barter trade between Russia and Pakistan. The study reveals that the bilateral trade between the two countries is characterized by inter-industry structure, low diversification, and high sensitivity to fluctuations in the food and agricultural raw materials markets. It is argued that barter exchange could facilitate trade expansion between Russia and Pakistan. Based on the authors’ original classification of commodity exchange by the degree of product homogeneity, the specific features of barter operations are highlighted. Solutions for addressing challenges encountered in structuring barter transactions between the two countries are proposed.