KARACHI, Sept 23: Minister for Commerce Humayun Akhtar Khan said on Friday Pakistan would take up trade related matters, including Qualified Industrial Zones (QIZs) with US trade representative Mr Robportman during his forthcoming bilateral trade negotiations being held in second week of November 2005, in Washington.
Addressing a press conference at the Export Promotion Bureau (EPB) offices, the minister said that Pakistan was still engaged with the US over Free Trade Agreement, but other trade matters would also be taken up during the first ever bilateral or one-to-one meeting with the US trade representative.
“I will strongly take up the US-Pakistan trade agenda with the new US trade representative and also hold talks over QIZs which are primarily meant to generate job opportunities in under-developed areas of the country,” the minister said.
Giving some details, he said that QIZs would be developed in collaboration with Afghanistan to export goods to US. These zones would be set up in the under developed areas for creating jobs, and goods manufactured in these zones would be imported by the US at zero duty.
Humayun Akhtar said that he would also take up the issue of customs tariffs on textile goods and put up a case before the US trade representative to reduce the duties because around 88 per cent of Pakistan’s exports comprise textiles and clothing. “I would say that reduction of duties on textiles was very important for Pakistan, and duties could be reduced under Non-Agreement Market Access (NAMA), a bilateral arrangement,” he maintained.
He said Pakistan was presently pro-actively working on its trade diplomacy and was holding Free Trade Agreement (FTA) negotiations with a number of countries, including Singapore, Malaysia, Latin American trade bloc, whereas with China early harvest announcement was already made to implement FTA from January 1, 2006. Similarly, he said Safta (South Asia Free Trade Agreement) would also be functional from January 1, 2006.
The minister said that WTO Ministerial moot being held in December this year in Hong Kong was very important for Pakistan and other developing and under-developed countries. He said matters related to Doha Development Round would be taken up by the G-20 bloc which recently held their ministerial meeting in Bhurban, Pakistan, early this month.
There was strong determination amongst the member states of G-20 to put up their case with regard to agriculture sector on the table and hoped that developed countries would give positive response, the minister added. Mr Akhtar said he was already in contact with Director General WTO Pascal Lamy in connection with the MC-6 being held in Hong Kong.
Humayun Akhtar Khan said that Pakistan and other developing countries would immensely benefit from the withdrawal of agricultural subsidies being given by the develop countries and help them to export and compete in the world market easily.
However, he warned that Pakistan in the coming years would have to become net exporters of agriculture goods if it wanted to benefit from the withdrawal of farm subsidy by the developed countries. He said, “we will have to educate our grower so that quality produces and higher per acre yield are ensured to stay in competition. If the country fails and remains net importer for agriculture products there would be huge loss because higher cost would have to be paid on import of farm goods.
He said Pakistan along with other members of G-20 would also take up services related negotiations in the MC-6 Hong Kong moot because the developed countries wanted to take advantage of technology and upgrade services sector but did not want to allow outflow of labour from developing countires.
The minister said issue with regard to trade defences such as anti-dumping duties and their rules will also be fought tooth and nail as Pakistan has had bad experience on this account. In the past, many a time punitive duties were imposed on Pakistani goods but ultimately had to be withdrawn because they were unjust and without reason.
Humayun Akhtar Khan expressed the hope that positive results will come out with regard to 13.1 per cent anti-dumping duty imposed by the EU on bedlinen and added that the new GSP will become effective from January 1, 2006, where Pakistan will get a benefit of upto 20 per cent on duties.































