Pakistan’s exports of quota items allowed under the European Union’s (EU) Autonomous Trade Preference (ATP) Scheme are gathering pace, according to the European Commission Taxation and Customs Union data.
Figures show that for the first 18 days of 2013, about 8.5 million kilogrammes were imported by the EU member states while 0.6 million kgs are awaiting allocation for 26 items allowed under quotas as per ATP legislation, a statement issued by the Pakistan Readymade Garments Manufacturers and Exporters Association (PRGMEA) said on Saturday.
Approximately 5% of total allocated quotas of 188 million kgs has already been utilised during the first 18 days, it added. In comparison with the 45 days to the end of December last year when the ATP Scheme commenced, these figures show a marked increase in imports.
In the last 45 days of 2012, EU member countries imported only 4.6 million kgs, or 10%, out of a quota of 47 million kgs available for the preceding year under the ATP Scheme.
If exports of these items continue at the same pace, the statement said, the quotas are expected to be completely exhausted within 10 months of 2013. However, due to the nature of the textile and clothing industry, which follows a seasonal pattern of increased exports from March to June, it is assumed that quotas can be completely utilised within six to eight months.
Textile and garment items constitute 16 out of 26 quota items under the ATP.
About 8% of ethyl alcohol’s total available quota of 75 million kgs has been consumed within 15 days of the current year. Similarly, 16% of total quota of one million kgs for men’s cotton jackets has also been utilised, the statement noted.
penetration was 0.3% of gross domestic product (GDP), according to a research note of BMA Capital, an investment bank.
Published in The Express Tribune, January 20th, 2013.
Like Business on Facebook to stay informed and join in the conversation.
Comments are moderated and generally will be posted if they are on-topic and not abusive.
For more information, please see our Comments FAQ
Good to know that Pakistan is building trade relations with EU..