Working on STPF finalizes for rapid industrial growth in country

ISLAMABAD: Pakistan has finalized its working on Strategic Trade Policy Framework (2018-23) in order to create an enabling environment for rapid industrial development, growth in exports by enhancing the competitiveness of local produces in the international markets.

The government in Strategic Trade Policy Framework (2018-23), was focusing on the regulatory regime for maintaining the competitiveness in country's trade as well as ease of doing business, a senior official of the Ministry of Commerce told APP here Tuesday.

Export growth, he said was being hindered by high cost of doing business and issues of market access and exchange rate.

He said that the government has been working on a five-year strategic trade policy framework to resolve these problems.

Replying to a question, he said that United States of America (USA), United Kingdom (UK), China, Afghanistan, Spain and Germany were the top exporting partner of Pakistan.

In last two months, Pakistan’ exports to United States was recorded at US$ 3,322.48 million, exports to United Kingdom (UK) stood at US$ 1552.81 million where as exports to China, was registered at US$ 1530.24 million respectively.

Meanwhile, the local exports to other destination including Afghanistan, Germany and Spain were recorded at US$ 1421.19 , 1209.95 ,877.67 million in last two months of May to July 2018, he said.

The official reveled that Pakistan was mostly importing from China, United Arab Emirates, Saudi Arabia, US, Indonesia and Japan indigenous good according to requirement.

Replying to another question, he said that Pakistan and Indonesia had finalized the review process for the Preferential Trade Agreement (PTA) and it would likely to enhance local exports to Indonesia by $ 200 million per annual. Pakistan and Indonesia has current annual trade volume of $ 175 million, which was expected to increase $ 370 million after renegotiation on PTA between the two countries, he said.

Both the countries agreed to expand PTA and go for a Free Trade Agreement (FTA) between them, the official said.

Both sides discussed 20 tariff lines and Indonesia agreed to give unilateral concession on major exports from Pakistan including zero percent tariff on tobacco, textile fabric, rice, ethanol, Citrus (Kinnow), woven fabric, t-shirts, apparel and mangoes during renegotiation on PTA, he said.

Concession on 20 tariff lines was major success of Pakistan and now Pakistani citrus and mangoes exports to Indonesia will increase country’s trade as compare with previous years.

The official said before PTA, Indonesia granted only two months for export of Pakistan’s.

He said Pakistan wants to initiate negotiation with Pacific and South East Asian nations on proposed Free Trade Agreement (FTA) for enhancing the multilateral trade and competitiveness in country’s trade.

Countries including Japan, Indonesia, Vietnam, Philippines in Pacific region also in list for starting dialogue on Preferential Trade Agreement (PTA) leading towards FTA for promoting trade liberalization, he said.