INDUSTRY and business leaders are generally optimistic about the future of trade relations with the US, especially because there are no such preferential trade arrangements in place that may go away in the wake of protectionist policies being framed by the Trump-led US.

Federation of Pakistan Chambers of Commerce and Industry (FPCCI) President Zubair Tufail categorically stated that since Pakistani products enter the country purely on the basis of market strength, therefore, there was no question of any negative development.

“Why would anyone like to shift or divert imports when they are getting quality goods at a competitive price from Pakistan,” he wondered.

“I feel Pakistani exports to US would actually increase in the coming days,” he maintained. Interestingly, he did apprehend that there could well be some problems related to travelling to the US.

Former chairman of All Pakistan Textile Mills Association (Aptma) Yasin Siddiqui said there could be negative or positive impact on Pakistan’s trade relation with US depending upon how the new administration frames trade policies. There may be a new era of liberalism or there would be chaotic conditions the world over, he added.

With Nafta and TPP on the rocks, and the future of World Trade Organisation being uncertain, imports and exports will be left totally at the mercy of market forces for which Pakistan is well placed as far as trade with US is concerned, argued Siddiqui.

In 2015-16, he continued, Pakistan’s total exports to US stood at $3.5bn which came to around 16.84pc of total Pakistani exports. The textile exports to US were at $2.9bn in the same year.

“If you look at these figures, 23.36pc of total textile exports worth $12.456bn go to the US. And this happens without any preferential treatment. There is nothing to fear,” concluded Siddiqui.

Published in Dawn, February 19th, 2017