NEW DELHI, May 12: Indian industry is planning to send a delegation to Pakistan to explore the possibility of strong business ties amid peace moves between the arch-foes, an official said on Monday.

“We are planning to send a business delegation to Pakistan shortly. It will probably happen after the summer,” T.K. Bhowmick, senior policy advisor of the Confederation of Indian Industry, told AFP.

He said it was too early to say what the size of the business delegation will be as invitation letters were still being sent to members.

A similar trip is being organized in Pakistan, with a business delegation expected to visit New Delhi in June.

“We are taking a delegation of around 40 to 50 Pakistani businessmen to New Delhi for talks with Indian business leaders on promotion of bilateral trade,” Illyas Ahmed Bilour, co-president of the Indo-Pak Chamber of Commerce and Industry, told AFP in Islamabad.

Industry officials here said the trade between the two neighbours could go up to four billion dollars in two to three years — from around 200 million dollars currently — if ties are normalised.

The restoration of normal ties could create a trade region next in size only to China, with a combined market of 350 million middle class families with a per capita income of at least 1,000 dollars annually.

The announcement of the visit follows almost a month of mutual peace overtures between the nuclear arch-rivals, after a high-stakes 17-month standoff that had them teetering on the brink of war and saw travel, trade and full diplomatic links cut.

Since Indian Prime Minister Atal Behari Vajpayee’s surprise April 18 offer of talks, which Pakistan has long called for, both sides have taken steps to normalize relations and pave the way for their first dialogue in almost two years.

US Deputy Secretary of State Richard Armitage, on a visit last week to spur on the diplomatic detente, encouraged them to develop economic ties as a step towards improving relations.

“We are now filled with enthusiasm that the doors to expansion of trade between the neighbours will open amid growing momentum towards normalisation of ties,” Bilour said.

Since the 1970s, formal direct trade never exceeded around 100 million dollars annually. Businessmen, however, estimate the volume of trade through third country and illegal channels at around one billion dollars per year. Pakistan said Monday it awaited a signal from India to start dialogue.—AFP