June 4, 2003	Wednesday	Rabi-us-Sani 3, 1424

ISLAMABAD, June 3: Commerce Minister Humayun Akhtar Khan said on Tuesday Pakistan would soon initiate dialogue on signing trade and investment facilitation agreement (TIFA) with the United States to enhance volume of bilateral trade between the two countries.

He was addressing a press conference at the conclusion of the 54th meeting of advisory council of commerce ministry.

The meeting was attended among others by senior officials of the ministry, chairmen, Export Promotion Bureau (EPB) and National Tariff Commission (NTC), Pakistan’s ambassador to WTO and various stakeholders to submit their proposals, suggestions and recommendations for the forthcoming trade policy and budget.

The minister said that he would soon leave for Washington for negotiations.

In reply to a question, he said due to engagement in the forthcoming budget it would not be possible for him to leave on June 9. However, he did not disclose the exact date of his departure.

Following the signing of the TIFA with US, there would be greater chances of enhancement of trade between the two countries, he said and added it would ultimately lead to a free trade agreement in the near future.

The official statistics showed that Pakistan exports to the US stood at $2.257 billion in 2001-02 against $2.245 billion over the corresponding year, showing an increase of only 0.53 per cent.

Pakistan export to the US registered an increase of 16.8 per cent during the July-March period of the current financial year to $1.865 billion against $1.597 billion of last year.

The minister said in the budget a relief package fro the exporters would be announced to enhance the volume of exports in the next financial year.

Elaborating the relief package, he said that a committee under the chairmanship of EPB’s chief has already been constituted to recommend amendments in the duty and tax remission for export (DTRE) and refund of sales tax system.

Mr Khan said that procedural amendments would be incorporated in the existing DTRE scheme to make it more user-friendly for attracting more exporters to avail the facility.

The minister said under the current system exporters were facing problems in getting sales tax refund, which he said would be solved in the next budget.

In reply to a question, he said Pakistan is focussing on enhancing trade with China and in near future Pakistan would be one of the exporting countries of raw materials to China for textile products.

The minister said during the expected talks with India, the progress on South Asia Preferential Trade Arrangement and South Asia Free Trade Area would come under discussion.

He said talks with India on trade was only after the negotiations on other political issues including the core issue of Kashmir.