ISLAMABAD, July 22: Commerce Minister Humayun Akhtar on Friday expressed the hope that the measures announced in the trade policy would help export reach $20 billion in 2005-06.

Addressing a post-trade policy press conference, the minister observed that the free trade agreement (FTA) with Sri Lank and preferential trade agreement with China would result in quantum jump in export to these countries.

He said the measures like early harvest programme with China and Malaysia, to be finalized soon, and the normal generalized system of preferences with EU member countries, to be effective from January 1, 2006, must have a positive impact on export.

Mr Khan assured to consider zero rating of sales tax and exemption of duties and taxes on non-textile items.

The minister said that the major increment is attributable to increase in export of non-traditional items, which increased by $690 million accounting for 33 per cent of the increase during 2004-05.

Mr. Khan said that due to diversification the number of non-traditional products made up increased to 1400 items. The minister said that rapid export growth strategy based on five pillars — improved market access, focussed on neglected regions, strengthening trade, improving infrastructure, provision of large-scale training and state of the art physical infrastructure — would further increase export.

Replying to a question, the minister said that the export would increase to Afghanistan as result of the measures announced in the trade policy.

He said that honorary general council would be established in those countries that had no permanent trade office. He said that local market executive would also be appointed for exploring market.

To another question, he said the amendments in the rules would benefit overseas Pakistanis to import used cars. He said this would also result into a large number of cars import.

To a question, he said that the allowing of re-cyclic plastic would directly affect the cottage industry. The minister said that joint study group of Pakistan and India jointly working to explore ways for increasing trade between the two countries.