January 28, 2006	Saturday	Zilhaj 27, 1426

KARACHI, Jan 27: Malaysia and Pakistan are going to negotiate a free trade agreement during the forthcoming visit of the Malaysian prime minister to Pakistan.

Commerce Minister Humayun Akhtar Khan and the Malaysian minister for international trade and industry have agreed to commence negotiations on the FTA at a bilateral meeting during the visit taking place from February 15 to 18, 2006.

Both the countries already have the Early Harvest Programme (EHP) which began from January this year. The EHP is part of the FTA.

As a result of the EHP, citrus fruits are presently being exported to Malaysia without import duty and are in high demand mainly because of the New Year event for Chinese community in Malaysia falling on January 29, 2006.

Chinese constitute around 30 per cent of Malaysian population and stand second largest community after Malays (Muslims). According to tradition, Chinese gift kinno to each other on the New Year season as a holy fruit.

Consequently, kinno consumption increases substantially in this period and Pakistan can benefit by exporting maximum quantity to Malaysia. It can fetch a good price because of purchasing power of Malaysian people.

However, its quality and value-addition through better marketing techniques can ensure Pakistani exporters get a greater market access to Malaysia.