Pakistan, KSA push for early GCC free trade agreement

Pakistan is seeking to strengthen its trade ties with Saudi Arabia through the early signing of a proposed Pakistan-GCC Free Trade Agreement, which is expected to provide greater market access and create new opportunities for exporters.

The development came during a meeting between the newly appointed Ambassador of the Kingdom of Saudi Arabia to Pakistan, Dr Rajeh Albugamy, and Federal Minister for Commerce Jam Kamal Khan at his office in Islamabad, read a statement on Saturday.

Welcoming the ambassador, Jam Kamal reaffirmed Pakistan’s deep-rooted and historic relations with Saudi Arabia. He said the Government of Pakistan had made sustained efforts over the past three years to further strengthen bilateral relations through enhanced government-to-government, business-to-business and people-to-people engagement.

Both sides discussed the Pakistan–Gulf Cooperation Council (GCC) Free Trade Agreement and its early signing and implementation. The minister noted that the agreement would provide an important opportunity to enhance market access, expand bilateral trade and strengthen economic engagement.

The commerce minister emphasised that the longstanding relationship offered considerable opportunities for greater economic integration, particularly in view of Saudi Arabia’s economic diversification under Vision 2030 and Pakistan’s production and industrial capabilities.

He highlighted the potential for cooperation in scaling up production, improving product quality, adopting modern technologies and strengthening industrial competitiveness. He noted that collaboration in these areas could enable Pakistani businesses to better meet the requirements of the Saudi market while creating mutually beneficial economic opportunities.

The minister also underscored the importance of expanding Pakistan’s export base and strengthening private-sector partnerships to translate the growing economic engagement into tangible trade outcomes.

During the meeting, the Saudi envoy reaffirmed the enduring bonds of brotherhood between the two countries and assured continued support for strengthening bilateral economic relations.

He highlighted opportunities for enhanced regional connectivity and cooperation, particularly in the agriculture sector.

The ambassador expressed his commitment to maintaining close engagement with the Ministry of Commerce to facilitate greater economic cooperation and identify new avenues for mutually beneficial partnerships.

Both sides agreed to maintain regular coordination and follow-up engagement to advance bilateral trade, investment and agricultural cooperation, with a shared objective of translating their longstanding friendship into stronger economic ties.