ISLAMABAD, May 22: Commerce Minister Humayun Akhtar Khan has said that trade talks with India will remain suspended for as long as the process of a political dialogue between the two nations does not start.

He told a news conference here on Thursday that 78 items “have been added to the positive list” which Pakistan had already committed to do under the South Asia Preferential Trade Agreement (SAPTA).

He said this will have no impact on the local production. Pakistan currently allows import of around 1,800 items from India under the “positive list”, while all other items outside this list are banned.

He said there was a general aversion to granting of “Most Favoured Nation” status to India, but because this status was extended by all trading nations to each other, India had the right to appeal against Pakistan before a WTO panel.

He said India had already lodged an appeal in the WTO against the preferential treatment given to Pakistan by the European Union vis-a-vis textile products.

He said during his visit to Brussels, the EU trade minister Pascal Lamy asked for a reduction in export subsidies and a reduction in high tariffs.

The minister said he demanded free movement for Pakistani labour for seeking employment in the EU countries.

The minister said he also urged the EU for a second inter-category flexibility quota in 2003 for textile products, which was denied in 2002.

The EU agreed to consider the request but called for controlling Pakistani textile products’ over-shipment, he said.

Answering a question, the minister said the EU could not amend its import policy for rice unilaterally.

Regarding his trip to the UK, the minister said he asked his British counterpart to re-negotiate the MOU signed in the year 2001 for greater market access.

He announced that British minister for trade and investment along with a business delegation would visit Pakistan later this year.