GSP gains and challenges

Pakistan's relationship with the European Union under the Generalised Scheme of Preferences Plus (GSP+) has been nothing short of transformative. As the scheme's largest beneficiary, Pakistan recorded €7.5 billion in GSP+ eligible exports to the EU in 2024, with tariff exemptions worth approximately €732 million. The EU now accounts for 28% of Pakistan's total exports, making this preferential market access a lifeline for our economy. And the GSP+ arrangement has not only delivered on its promise of increasing trade and creating jobs, it has also placed pressure on the government to improve its governance and human rights records.

It is true that our compliance record with GSP+ conditions has been patchy. Both general elections since the status was granted have been mired in controversy. Our human rights record remains less than sterling, and personal freedoms, including media freedom, are still a long way from ideal. However, there has been legislation and groundwork to improve in many areas, including minority rights and the use of torture and other inhuman punishments. Unfortunately, some critics of the government - both at home and abroad - have been expending massive amounts of time, energy and money to paint a picture of Pakistan that is so divorced from reality that it could be laughable, if not for the fact that their propaganda could put thousands of Pakistanis' livelihoods at risk.

The government certainly has to up its game if it is to maintain compliance with the revised GSP framework that takes effect on January 1, 2027. Most of the requirements are unquestionably good, not just for the EU, but for the people of Pakistan. Coming into compliance and then exceeding the benchmarks is a win-win. But change will invariably be incremental. In the meantime, critics need to look beyond their myopic political goals and focus on what is good for the country. Trying to undermine the whole economy for political ends is not the wise path forward for anybody who wants Pakistan to succeed.