ISLAMABAD, Aug 7: Prime Minister Shaukat Aziz leaves for Japan and Hong Kong here on Monday on a week-long visit to promote economic and political relations with the two nations.

In the first part, he would visit Japan from August 8-11 on the invitation of Japanese Prime Minister Junichiro Koizumi where he would seek increased market access and tariff concessions for Pakistani exports.

Minister for Industries and Production and Special Initiatives Jehangir Khan Tareen, Minister for Tourism Dr Syed Ghazi Ghulab Jamal, Minister for Water and Power Liaqat Ali Jatoi, Minister of State for Culture, Sports and Youth Affairs Muhammad Ali Durrani, Minister of State for Economic Affairs Hina Rabbani Khan, chairmen of Export Promotion Bureau and Board of Investment, businessmen and media-persons will accompany the prime minister.

Informed sources said Islamabad was seeking increased market access to Japan under a proposed Preferential Trade Agreement (PTA). Formal discussions on PTA could start soon after the visit.

The current trade balance is significantly in favour of Japan as Pakistan’s exports are $125 million and its imports are between $800-900 million. Hence, Pakistan will also seek special tariff concessions to boost its exports to Japan, particularly of leather and sports goods.

Islamabad is also seeking maximum tariff concessions under the Generalised System of Preferences (GSP), under which Japan is extending concessions to least developed countries.

Pakistan would, for the first time, start negotiations on the subject to get same concessions for its products which are available to LDCs to enhance the value of Pakistan exports and improve the trade balance.

Pakistan will also offer to Japanese businessmen a Japan-specific industrial zone in Pakistan to increase investment in areas of auto and machinery. Japan will also be extended special incentives in existing export industrial zones.

Pakistani officials expect that a gradual relaxation in car import policy allowed by Islamabad may crop up for discussions with Japanese authorities as most of the local manufacturers in Pakistan are of Japanese origin.

Pakistan, these officials said, had decided not to seek extension in deletion programme under the WTO mechanism and protect through a home-grown programme that would be announced during the current fiscal year.

On August 11, Mr Aziz will leave for Hong Kong on his way back to Islamabad on August 13.

APP adds: The prime minister held a brainstorming session with the country’s leading businessmen and industrialists who were to accompany him.

He said Pakistan was an investor-friendly country which provided a lot of investment opportunities to local as well as foreign investors.

The meeting focused on exploring ways of increasing trade and business with Japan.

“Pakistan of today is a country of opportunity, hope and promise,” he remarked. “It has the potential of becoming a hub of manufacturing in the region,” he added.

He asked the businessmen and industrialists to strive for forging even closer ties with the Japanese businessmen and particularly to explore the possibilities of undertaking joint ventures in various fields.

He said the Japanese contractors will be invited to bid for infrastructure projects in the country “as we believe in creating a win-win situation for the businessmen of both the countries”.