ISLAMABAD, Sept 26: Pakistan is one of the leading countries in South Asia implementing trade policy reforms, gradually moving economy away from protectionism towards greater trade openness and global economic integration during the last decade, says a World Bank report.

Pakistan’s comprehensive liberalization of its trade policies since 1996-97 including its agriculture trade policies contribute to a regional picture of very mixed achievement but widely shared opportunity, according to a report “Trade Policies in South Asia: An overview” conducted by Garry Pursell and Zaidi Sattar of World Bank.

Presenting their report at a workshop here on Friday, the researcher said that due to liberalization Pakistan was ranked as the low to moderate tariff country with the average tariffs about the same as Nepal’s.

They said compared with the average tariffs in the 105 developing countries, on all products, agriculture and manufacture products, India currently ranked second, third and second, Bangladesh ranked seventh, eight and eight. While Pakistan ranked as 40, 19 and 63 respectively among the developing countries.

They said the exchange rate liberalization laid a foundation for and greater openness in trade and it was desirable that the present flexible exchange rate policies being followed in India, Pakistan and Bangladesh should continue.

Commenting on the report, Dr A. R. Kemal supplemented the report that Pakistan was one of the countries in South Asia where trade regime was more transparent and business-friendly.

He suggested carrying out a study to find out whether or not the growth resulted into poverty reduction. He said in case of Pakistan the theory failed as the growth in economy was not followed by reduction in poverty.

Mr Kemal said that because of qualitative restrictions of India on imports, Pakistan would not be able to get more market for its products in the Indian markets if Islamabad granted the MFN status to India.

He said in case of bilateral treaties the developing countries, especially the poor ones, would suffer who were yet to opt for any bilateral treaty.

The researcher suggested a review of the current anti-dumping policies so that it could only be used to protect the local industry not as a weapon of protectionism.

Presiding over the session, Chairman Central Board of Revenue (CBR) Riaz Ahmed Malik said the liberalization of trade in South Asia was still far from the finished. He said for increasing share in the world trade, Pakistan had to further liberalise its economy so that it could get maximum benefits from the world trade.

Commenting on the report, Dr Wajid Pirzada of Pakistan Agriculture Research Council said under the pressure of donor agencies - IMF and World Bank - the developing countries including Pakistan were bound to lower their tariffs which, he said, had resulted into high imports.