Pakistan, Uzbekistan expand PTA scope

Leaders add over 100 new trade items to agreement, sign MoU on e-commerce cooperation

ISLAMABAD:

Pakistan and Uzbekistan have agreed to expand the range of goods eligible for trade under their Preferential Trade Agreement (PTA), increasing the number from 17 to over 100 items to boost bilateral commerce. This agreement was reached during the 9th meeting of the Intergovernmental Commission on Economic Cooperation, held in Tashkent, and accompanied by a productive Uzbek-Pakistani Business Forum.

This significant event saw the participation of Laziz Kudratov, Uzbekistan's Minister of Investment, Industry, and Trade, and Jam Kamal Khan, Pakistan's Federal Minister for Commerce. Senior officials from relevant ministries and over 100 representatives from major industries in both nations also attended.

The forum began with a bilateral meeting between the heads of both delegations, where discussions centred on current trade levels, investment, and collaboration in industries, transport, and logistics. Both leaders emphasised the need to implement measures agreed upon during recent high-level visits.

Sources told The Express Tribune that the two countries initially traded 17 items, but have now agreed to expand the list to over 100 under the PTA to enhance bilateral trade. A technical committee has been formed to assess new products to be added to the trade list.

Pakistani businessmen have reportedly faced difficulties obtaining visas from Uzbekistan. Addressing this, Uzbekistan agreed to simplify the visa granting process for Pakistani businesspeople. Additionally, three joint working groups were established to promote cooperation in the fields of environment, agriculture, investment, and education.

According to a statement, following these discussions, the formal session of the Intergovernmental Commission commenced, with officials presenting detailed reports on the progress of existing agreements and outlining future collaboration plans.

Recognised as a key trading partner, Pakistan has seen its trade volume with Uzbekistan triple in the past five years. This year alone, trade between the nations grew by 10%. The number of joint ventures has also tripled, reaching 128, while road freight transport hit 354,000 tonnes in 2023—an increase of nearly 6.5 times.

The Commission meeting underscored several strategies to sustain and boost this growth, including enhancing the PTA's effectiveness, organising joint exhibitions of national products, establishing trade houses, and expanding entrepreneurs' access to electronic trading platforms.

Both sides agreed to expand the scope of the PTA beyond its current level. To this end, a committee has already been formed and has begun its work.

In the realm of investment cooperation, both parties agreed to develop a joint "Programme for Industrial Cooperation 2025-2026" focused on projects in agriculture, food processing, IT, chemicals, textiles, and machinery. Both countries also committed to improving transport connectivity to facilitate smoother goods movement.

The event concluded with the signing of the Final Protocol of the Commission meeting and a Memorandum of Understanding (MoU) on cooperation in e-commerce between Uzbekistan's Ministry of Investment, Industry, and Trade and Pakistan's Federal Ministry for Commerce. This MoU is expected to unlock new avenues for trade and technological collaboration.

The 9th Commission meeting and business forum reflected the shared vision of Uzbekistan and Pakistan for sustainable economic progress, paving the way for a stronger, more interconnected regional future.