ISLAMABAD, Oct 12: Federal Commerce Minister Humayun Akhtar Khan announced on Tuesday that the United States has agreed to revive the facility of duty concession on Pakistani products under generalized system of preferences (GSP).

Addressing a press conference, the commerce minister said that the US authorities have also agreed to increase the range of items for duty concession under GSP. He, however, did not disclose the exact number of items to be considered under GSP but said that most of the items would be from other than textile sector.

The US had stopped the facility on Pakistani products due to child labour in the Pakistani industries. Elaborating, the minister said that Pakistani delegation has apprised the US authorities during the recent visit to Washington for reviewing the high tariffs on Pakistani products.

Mr Khan said that the delegation had also given five proposals to the US authorities for consideration mostly related to greater access to the United States market.

To a question he said that the proposals were secret and it could not be made public at this time. He, however, said that the outcome of US presidential election would have no effect on the ongoing dialogue on enhancing trade between the two countries.

The minister said that senior officials of the two countries would meet in December to further discuss the procedures and modalities of the bilateral investment treaty (BIT) between the two countries.

Replying to a question, he said that he could not exactly say that the proposed BIT would be converted into a free trade agreement (FTA) between the two countries. Regarding his meeting with trade commissioner-designate to European Commission (EC), Peter Mandelson at New York, the minister said that they explained and sensitized the commissioner who would take charge from November 1, 2004.

Mr Khan said that Trading Corporation of Pakistan (TCP) has been directed for timely intervention in the market for stabilizing the cotton prices in case of any decrease to benefit the growers.

He said that it was also under consideration that the TCP would then export the surplus cotton. The minister said that five ministers - commerce, agriculture, industry, textile and state minister of commerce - would meet weekly for reviewing cotton prices and other issues during the cotton season.