ISLAMABAD, Aug 10: Pakistani and Indian trade officials are meeting here on Wednesday to discuss possibilities of enhancing the volume of trade between the two countries.
Well-placed sources told Dawn here on Tuesday that Indian Commerce Secretary Deepak Chatterji with his Pakistani counterpart Tasneem Noorani would discuss among other issues the granting of MFN status to India and bilateral trade on the basis of negative list system.
According to the sources the Indian government was of the opinion that the opening of a direct bilateral trade on the basis of MFN would result in the expansion of the two-way trade. "New Delhi also proposed to Islamabad to move to a negative list from the current positive list system to increase the volume of trade," the sources added.
The two officials would also deliberate upon seeking more market access for their products. "Pakistan will seek preferential market access among others for export of raw cotton, hides and skins, edible oil, nuts, metal, precious and semi-precious stones to India."
While India would seek preferences on export of iron ore and pig iron, medical and pharmaceutical products, textile machinery, tea, tyres and chemicals, the sources said.
Pakistan may also seek Indian support for getting accession to the Bangkok Agreement (BA). Pakistan had applied for the BA membership in 1998, but India was continuously blocking Pakistan's efforts to enter into the agreement to take advantage of tariff preferences of other countries to enhance its share in the regional trade.
India, along with other South Asian countries, including Sri Lanka and Bangladesh, enjoyed tariff preferences with other BA-member countries, including China that joined the agreement in 2000.
