June 26, 2003	Thursday	Rabi-us-Sani 25,1424

ISLAMABAD, June 25: Pakistan’s trade missions abroad have recommended a string of proposals for consideration in the forthcoming trade policy 2003-04 aimed at facilitating and increasing the volume of exports.

Officials in the Ministry of Commerce told Dawn on Wednesday the proposals were received from almost all the Pakistan’s missions abroad seeking more trade facilitation and incentives for tapping new markets for Pakistani products.

The mission at Brussels in its recommendations said the year 2003-04 would be the last quota year for textile products and appealed to the commerce ministry to outline a clear vision and road map in the trade policy in consultation with all stakeholders to increase market access exponentially in fast moving categories and to consolidate Pakistan’s market hold in others.

The trade policy should also target the establishment of social certification mechanism, capacity within the country and formulate a plan to encourage exporters to meet the standards.

The trade mission in Riyadh, Saudi Arab, proposed that the non-repatriable investment (NRI) scheme, available unit to year 1999-2000 was abolished through trade policy 2000-01, which needed to be revived. It said even after the discontinuation of the scheme, overseas Pakistanis kept making inquiries on how to send the new, old and used machinery to Pakistan.

The mission further proposed that in the wake of Iraqi invasion, there have been calls for boycott of products from the coalition countries and Pakistan needed to capitalize on the opportunity by aggressively marketing its traditional products in the Middle East.

The mission at Tehran recommended that for export of Pakistan’s agriculture products and even other items, it was important to meet necessary quarantine requirements from importing countries and to adopt standards, which were acceptable globally.

The mission at Tokyo proposed to government the new trade policy needed to provide incentives for product diversification. The incentives could include concessionary rates of duty for import of plant and equipment for such industries, as well as concessions related to re-financing.

The mission at Brasilia recommended that concept of virtual exhibition, through electronic means and use of satellite telephony, was useful in reducing reliance on participation in trade fairs. Therefore, it should be implemented selectively through the trade policy.

The trade mission at Ottawa recommended the trade policy should consider the setting up of marketing companies in Europe, North America and the Middle East for promotion of export from Pakistan.

The quasi-private marketing companies should initially be funded by the government and later developed as independent self- sustaining organization manned by persons selected either from Pakistan or abroad.

The London mission also recommended the revival of NRI scheme in the forthcoming trade policy.

The trade mission at Mexico in its recommendation observed the capacity of Pakistan to diversify from purely cotton to man-made fibre was seriously hampered through sovereign guarantee given to the ICI polyester, whereby import of polyester has become impossible.

It further said Pakistani exporters could only cater to the market segments relating to pure cotton alone. It was recommended the trade policy should remedy this situation in a manner that guarantee could be redeemed.

At present, vegetable ghee in tins up to 5 kg was allowed to be exported under claim for duty drawback. It was proposed that the government should allow export of ghee in 16 Kg tin also under the scheme as there was big market for ghee in 16 Kg in packing.

It was recommended that the government should come up with innovative policy initiatives in trade policy to encourage exporters to venture in Africa on the Chinese pattern.

Nigeria imports over 1.5 million tons of rice per annum in which Pakistan’s share was negligible. It was mainly due to the fact that Pakistan did not have the facilities to provide the par-boiled rice imported by Nigeria.

It was recommended to encourage establishment of industrial infrastructure to produce par-boiled rice along with establishment of a Pakistani bank in Nigeria.