ISLAMABAD, May 30: Pakistan and India have formally agreed to allow trading of only raw products, mostly food items, between the divided regions of Jammu and Kashmir.

Reliable sources told Dawn on Tuesday that the two sides agreed that no value-added products — manufacturing products — would be allowed for trade under the proposed trading treaty between the two Kashmiri regions.

The sources said that value-added products were not included in the list of proposed tradable items on the pretext that it would be difficult for both sides to differentiate between Kashmiri and non-Kashmiri products.

The sources said the understanding regarding it was reached in the second technical level talks held recently in Islamabad headed by foreign ministry officials of both sides.

Under the proposed treaty, commercial trucks are expected to start plying on the Srinagar-Muzaffarabad route following the finalisation of lists of products for trading, added the sources.

The proposed Poonch-Rawalakot bus service to ferry Kashmiri passengers across the Line of Control is scheduled to kick off at the end of next month, said the sources.

The proposed list of items to be imported from Indian-held Kashmir included Kashmiri carpets and shawls, lentils (moong), apricot, almond, coriander, saffron, etc.

The proposed list of items to be exported from Azad Kashmir included marble, apricot, rice, onion, garlic, etc.