KARACHI: Business leaders have stressed the need for developing close trade relations with Economic Cooperation Organisation (ECO) members and Central Asian states to overcome current economic crisis of the country.
These leaders felt that instead of wasting time in other regional blocs which are more politicised, Pakistan should move closer to ECO member states to resolve its economic issues and become part of 400 million people market.
At a press conference at the Karachi Press Club (KPC) here on Monday, the founding chairman of the ECO Friendship Forum, Mohammad Farooq Afzal, said 28 years have gone by but regional bloc, such as South Asian Association of Regional Cooperation (Saarc) failed to produce the desired results.
He further said that Saarc for most of the time remained victim of politics amongst its member states and did little to promote trade and economic relations even after entering into a number of trade agreements.
Giving details of the aim and objectives of the newly established forum, he said it would vigorously work for promotion of close trade relations between Pakistan, Afghanistan, Iran, Turkey and CIS states.
Farooq Afzal urged the government to shift its priority from other regional blocs to ECO forum because most of country’s economic problems would be resolved once it is made pro-active by fostering close trade and business relations with these countries.
He further said that newly-established forum have a road-map for achieving this goal and added that single country exhibitions, frequent exchanges of trade delegations would have to be arranged.
However, he demanded that the government should come up with incentives which could help promote trade relations with these countries by providing freight subsidy, lowering of tariffs etc.
Vice chairman M Iqbal Jawed Mallick said that if European Union (EU) with a population of 334 million people could become a successful economic forum, there was no reason why ECO which has all the potential could not succeed.
He said Pakistan’s future lies in the ECO and by fostering close relations with member states, including Central Asian states, a vibrant and effective trade bloc could be established.
He drew the attention of mediamen towards early 1990s when CIS states became independent and said a large number of people and trade teams used to visit Pakistan. There was a time when people from these states used to be seen in large numbers in Saddar area but suddenly they disappeared.
Mr Mallick said all this was done through an arranged plan and now these people are seen in Bombay and UEA creating economic activity of up to $10 billion. Pakistan could export skilled manpower to these states which have to still develop modern banking, insurance and trade related systems.
Similarly, solution to Pakistan’s energy problem also lay in the ECO because most of the member states are rich in gas and oil and could become secure source of energy supply.
He disclosed that textile industry in Central Asian States today mostly has Indian skilled labour and Pakistan could have easily filled this gap in early 1990s.
It was always economic interest which develops closer diplomatic relations between nations and once we as a private sector succeed in making breakthrough, the ECO would come closer for the benefit of their people who mostly have similar culture and values, he added.
However, Farooq Afzal said without government assistance and encouragement the private sector could not do it alone because policies have to be framed to facilitate trade with ECO members and with Central Asian States having a population of 400 million people.