China to reduce tariffs on imports from less-developed countries

Around 95% commodities will be made zero-rated within three years.

KARACHI:

China is providing many South Asian countries, including Pakistan, an opportunity to redress their trade deficit with the economic giant.

In lieu of its general trade policy, China will reduce tariffs imposed on 95 per cent of commodities imported from less-developed countries to zero within three years, in order to stabilise exports, expand imports and reduce trade surplus.

At a seminar titled ‘Deepening Pak-China Economic Cooperation between Pakistan and Yunnan Province’ at the Federation House on Monday, a Chinese delegation invited the Pakistani business community to participate in the 6th China-South Asia Business Forum, scheduled in Yunnan in June.

“This is a great opportunity to obtain market access in China, especially this province. We will have over a hundred stalls, and hold business-to-business meetings. It is a good opportunity, for which we should prepare ourselves,” said Confederation of Asia Pacific Chambers of Commerce and Industry (CACCI) Vice-President Tariq Sayeed.

The objective of this seminar was to outline the current situation of the economic cooperation between the two countries, according to Saarc Chamber of Commerce and Industry Secretary General Muhammad Iqbal Tabish. He informed that China had offered FPCCI and Pakistani businessmen to participate in the forum, as well as the exhibition.

The exhibition will be an effective medium for promotion of Pakistani exports in the Chinese market. “Pakistan is currently facing a huge trade deficit in China, and the explosion of exports would provide them an opportunity to display their products in the Chinese market, and attract trade and investment,” he added.

China Council for the Promotion of International Trade (CCPIT) Chairman Li Jiaosho put forward three proposals to enhance investment cooperation. “We suggest Pakistan pay more attention to preparation work related to investment projects, strengthen communication and exchange with industrial chamber,” said Jiaosho.

He further hoped Pakistan would improve the investment environment and provide Chinese enterprises equal entrance treatment, and practically protect legal rights of Chinese enterprises and citizens.

Speakers said that several small countries were facing a trade deficit with China and the country, having realised this, has offered small countries an opportunity to come to China to display their products. As a result, these countries will be able to redress the trade balance by enhancing exports to China.



Published in The Express Tribune, April 5^th, 2011.