Afridi’s statement rebuffed media reports that Islamabad may delay awarding MFN status to India as the government was facing pressure from various stakeholders – particularly from industrialists associated with the textile industry in Pakistan. Several lawmakers have also reiterated that the move to grant MFN-status to New Delhi had been delayed so that the government could hold consultations with industries that have expressed their reservations.
Responding to a question posed by Pakistan Muslim League-Quaid (PML-Q) Senator Najma Hameed, Afridi informed the lawmakers that the government is committed to implementing its decision by next month.
“We want this credit [of granting MFN status to India]. We are heading towards the final stage now,” said Afridi. He, however, explained that “MFN status will be awarded to India by prioritising state interests, taking all stakeholders on board in Pakistan.”
Islamabad has already missed a December 31 deadline to give MFN status to New Delhi as well as to end a negative list regime and trade.
Senator Hameed had sought the progress made to grant MFN status to India as well as the benefits that Pakistan wanted to achieve after awarding this new status. In response to it, Federal Minister for State Makhdoom Amin Fahim informed the House that positive progress has been made on the issue.
Fahim also clarified that after awarding this status to India, New Delhi will have no excuse against promoting business in the region. New Delhi has been accusing Pakistan that it’s not fulfilling the criteria set by World Trade Organisation (WTO).
“At various multilateral economic forums, India would not be able to use the argument of Pakistan being non-compliant to World Trade Organisation agreements in terms of holding back MFN status from WTO member state,” he said.
The policy of new visa regime between the two nations has already been implemented with three agreements signed in September last year for countering the non-tariff barrier issues being faced by Pakistani exporters, stated the minister in his written reply to the Senate.
COMMENTS (52)
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@Amir: 160 million consumers in Pakistan over 1 billion in India.
Even if we capture 5% of Indian Market, that's equivalent to over 30% of present Pakistani market for goods and services which by any account will be substantial. Conversely Indians will gain much less in terms of percentage increase in market. It maybe simplistic but certainly not wide off the mark.
@Charlie Chaplen: "“MFN”…is it just one way or india has already given MFN status to pakistan ?"
India had given it to Pakistan in 1996. SO it is one way from India to Pakistan because Pakistan is stil talking about it, hasn't really done it.
@Vishnu Dutta: Actually announced in oct 2011.
Flip flop, flip flop. This was announced last year and still we are getting dates
Headly says Hafiz sayeed is the mastermind. Kasab says Hafiz sayeed is the mastermind. But pakistan still says no evidence against hafiz. Pakistan will protect hafiz untill one day he too bites back like taliban.
He loves me...he loves me not...he loves me
Not sure which kind of bubble our rulers are living in.
I hope this MFN status would not mean allowing transit to Indian product towards Afghanistan and Central Asia.
@A K ANDANI: " WE DO NOT NEED INDIAN JUNK IN PAKISTAN. "
Pakistan's textile industry imports Indian machinery( perceived as junk by you) worth 500 million USD through third countries like Dubai and Singapore. Do you think that your Industrialist are fools willing to import paying roughly 205 more ? Once Indo Pak trade normalizes i am sure that Pakistan won't need IMF's help any more in future.
"MFN"...is it just one way or india has already given MFN status to pakistan ?
@ayesha azeem: Who needs it? Who benefits from it?
This is not even funny anymore. The question to ask is - Does India really gain anything by being granted holy "MFN status" by Pakistan? My opinion is a resounding NO. So, it will be wonderful if Pakistan quit dangling the 'MFN' card. As for India, if it is man enough, it is about time it told Pakistan it can shove the "MFN status" up its - 'where the Sun don't shine' cavity. Guys, Like I said before, This is definitely is not funny.
@Hasan Mehmood: I particularly liked "I believe the peace lobby on either side is just as patriotic if not more than those indulging in hate peddling". The hate peddlers want to protect their today while the peace lobby wants to ensure a better life for the next generation , who is more patriotic ?
@Pragmatist:A helicopter can only carry one jerrycan (20ltrs) of k-oil per trip to the forward pickets in Siachen , that jerrycan costs us its weight in silver at least if not gold . Just because we bear the cost does not mean it is good for us . There are other sectors of our society , education, healthcare .......which are in dire need of funds . We can not count on China as one of our friends but we trade with China($70 billion) if not our consumers would have to pay more or do without something they can afford today.Why noy give our consumers the things which are cheaper in Pakistan and when we export do we not create jobs in India . Isolation is not very pragmatic,
Let's hope this gets rid of all this Pakistan-bashing happen in the Indian media.
Do not worry. Pakistan SC or EC will stall the proposed MFN status to India.
@Sudheer: I said "We must realize that there are vested interests who would like to keep the pot boiling " .
THEN WE STOP ALL THE 10.5 BILLION GOODS CROSSING FROM PAKISTAN AFGAN/AZABIJAN/TURKMINSTAN/AND OTHER COUNTRY.WE DO NOT NEED INDIAN JUNK IN PAKISTAN.
Why?
@jagjit sidhoo Certainly, no sane person from both sides of the border can differ with your views and I like the guy shares a part of the same name Sidhoo & Siddooism, but, your views are definitely not "Siddooism! However, I have a few reservations on your views. You wrote: We must realize that there are vested interests who would like to keep the pot boiling..... I am sorry, but, I don't see any "vested interests" on our side. I know you by your comments on this forum and believe that you are well aware of the internal conditions of both India and Pakistan. Everyone in our country, particularly, the educated middle class, knows very well that keeping enmity with Pakistan is a totally futile exercise and counterproductive. We need peace to progress economically and eradicate the curse of poverty from our country. Our military is firmly under the control of civilian government and the civil society is so huge and conscious that no politician can use Pakistan as a threat to win votes. In fact, the opposite is true, when Indian government won't react appropriately to the frequent outrages perpetuated by our neighbor on our soil, it was the civil society and media that forced the government to respond firmly. We spend about $40 billion on defense annually, but that is not Pak centric, how can it be, when Pakistan's entire national budget is much less than that of the figure stated above. We are a big country and our multinationals have invested billions of dollars abroad and therefore keeping a strong army & blue water navy to keep seaways free is vital. Now, tell me any of the above stated objectives of India do contradict or threaten Pakistan? The problem with our neighbor is that it lacks any identity or direction of its own. Pakistan's existence has always been being "un-Indian" and it continues to be so. Therefore, sir, I don't see anyone in India has a vested interests in hating Pakistan or its people. There are enough Muslims in India for the political parties to appease or oppose to win votes of Hindus, Sikhs etc., Pakistan has absolutely no relevance to the masses of India, barring a few Punjabis and refugees from Pakistan.
Put the politics on one side and get on with improving the economy - MFN to India is in the best Interests of Pakistan!
@SHB: if you are thinking about kashmir joining Pakistan - will not happen - most kashmiris do not want that - a free kashmir is also not possible - ajk and gb will have to be made independent - only possibility is musharraf formula - allow genuine kashmiris visa free travel within kashmir - do this and get nobel peace prize
We don't want it. Keep your grants to yourself.
judging by these comments, i doubt anyone knows what MFN really means. in a nutshell, it means giving India the same treatment as all our other wto trading partners and doesnt imply they will be treated favorably as such
@ayesha azeem: even we are surprised. You should ask your govt why this sudden decision?
@ayesha azeem:
Look at it this way.. Engagement is essential to relish the relief disengagement brings. Scaling up of a relationship is necessary to appreciate the sense in scaling it down. Talk is mandatory so that one may enjoy a good sulk. Only if MFN is granted will Pak have the exhilarating joy of abjuring it.
@jagjit sidhoo.: Yes you are right. Until Kashmir issue is not solved, nothing will happen. These small cosmetic measures have done nothing. It is bad in the long term for both countries.
We look with such close mind. The future wars are all economics. Just think...
160 million consumers in Pakistan over 1 billion in India
So who is at advantage...though a simplistic view, but I am all for MFN. Should bring normalization to both sides, business opportunities, work...
about time too! - this should have been done ages ago
Indo-Pak relations have shown the desired thaw after a long political of almost six decades and the dawn of trust and amity is gradually breaking through the darkness of antipathy, distrust and malice. The six decade long political winter between India and Pakistan which now moves towards a new spring of relationship is indeed a development most encouraging which does inculcate a new hope of trust, amity and confidence in the Indo-Pak mind which is equally essential. The going through this spring is off course a task most challenging replete with the viruses of antipathy and distrust trying to revert the process backwards for their narrow political ends. Nevertheless the antidote against these viruses of distrust and antipathy are now strong enough to sequestrate their negative influence on Indo-Pak relations. Every move diplomatic, economic, social as well as cultural has to be carried out with utmost care and caution besides sincerity and optimism for the slightest false move could derail the on going peace process which still has a certain degree of fragility poignant in it. This fragility will be replaced no doubt with the required flexibility and strength to absorb shocks and challenges which off course needs time. Indo-Pak friendship will be perhaps one of the greatest events in the history of South Asia in the times to come for which the citizens of the two nations should stay prepared. The test of real patriotism now lies in ones perseverance with regard to pushing forward the wagon of Indo-Pak trust and amity with the required fuel of confidence and optimism. The citizens of India and Pakistan must now wake up from their social slumber which has lasted for almost sixty years with the violent blizzards of military conflicts and intrusions which are now a story of the past. The warmth of trust and amity alone can melt this political snow and end this diplomatic winter between India and Pakistan. The proposal towards granting the MFN (Most Favoured Nations) status is indeed a move towards amity, trust that will end the sixty five year long political winter.
@jagjit sidhoo.: Excellent views...
Very wise decision! War mongers please spread hatred elsewhere & let there be peace between two countries. After all we are cousins.
India and MFN? You gotta be kidding me..
@jagjit sidhoo.:
A rare and very sensible analysis from other side of the border. I believe the peace lobby on either side is just as patriotic if not more than those indulging in hate peddling. We can blame each other till Hell freezes over without any conclusion. Yes the peace dividend will be enormous. Not only goods but people should be able to freely move across borders hopefully like Canada - USA border. Do this and all the hate mongers on this forum will disappear in a couple of years. Guaranteed. While I fully support MFN status to India, I do hope the non tariff barriers on Indian side will be rationalized. If the entire EU can work with a single set of standards, there is no justification for different standards justifying non tariff barriers as in case of cement industry. As I remarked earlier the BOP will always remain in India's favor as in case of China. So Indian Govt. can afford to be flexible in this regard. Once cross trade linkages are built up the resulting vested interests will immeasurably strengthen the peace lobbies on both sides.
@Shah:There is already trade between us only a lot of it is by smuggling across the border or via Dubai , the middle men take their cut which the consumer pays for while the govts do not get any taxes .There is lot of scope for trade which is mutually beneficial, BUY FROM THE CHEAPEST STORE IN THE WORLD do not let politics get in the way .
The fact that MFN status was given to Pak by India years ago has been suppressed by both countries. It's simply politics. What does it matter if Pak doesn't reciprocate? Let India too withdraw the status! Why should it pretend to be nice when it achieves nothing!
@jagjit sidhoo.:
One good explanation ....atleast your views are with arguments and not an argument itself.... I think Pakistan should see its buisness market and than give India this status as this can acutally cause problem for Pakistani companies.....Peace and Respect
@Adnan: "What a contrasting policies these two countries have, one is more than eager to give Most Favored Nation status to its neighbor and the very neighbor is not even thinking of talking to this country"
India had given MFN to Pakistan in 1996. Technically India could have taken Pakistan to WTO in 1996 itself for not granting MFN to which it is legaly entitled per WTO norms. India showed magnanimity and instead of acknowledging it, you imply that you are doing India a favour.
Mfn is not our need. Its ur need ;-)
wrong decision. don't do it, at least at this point.
What is wrong with facing up to the fact that India and Pakistan will be eternal enemies? All this nonsense about MFN et al is just one terrorist strike away from grinding to a halt. I don't wish for this to happen but this is the reality that we must come to terms with. I, for one, will not be too perturbed if no parlays take place between the two nations. Pakistan should not take up too much of India's mindshare.
We do not want MFN status. It is all wind and no substance. Pakistan shroud continue to get Indian goods through third countries- the traders make more money and the common man pays many time over the reasonable price. Or decide to boycott Indian goods- problem solved.
as if We beg them !!!
@jagjit sidhoo:Though my comments do not pass through moderator these days..yet i m posting my comment.... Sir.news is really pleasant for both the nation,but the tention at the loc already jeopardize the relationship to a great extent.You r a sikh,but you should understand that conflict is coz of history long hindu-muslim enemity.To normalize the relationship one from both the nation has to make compromise on k-issue.I dont see this is happening very soon.Yes you r right ,despite animosity trade relationship should go on.As goi stated,we should move step by step specially after recent beheading of our soldier.Seems that army and beurocrates of pakistan r not on the same card while dealing with india.
MFN after India set spying tomatoes? +++++++++++++++++++++++ God heavens.
What a contrasting policies these two countries have, one is more than eager to give Most Favored Nation status to its neighbor and the very neighbor is not even thinking of talking to this country. Seriously I am losing the plot over here!!!
Oh good. I was worried.
Their has been a lot of hot air on both sides of the border after the incidents on the LOC , as a ex-army man who has seen service on the LOC i would like to tell my civilian friends that soldiers on the LOC do not play marbles . Soldiers even in the 1980s (when things were rather peaceful) used to exchange galies, tu tu mein mein etc on a routine basis which sometimes used to heat up and there was a exchange of fire .In the last few years things have been tense and i assume the exchanges have been more frequent .The fact is we have soldiers manning the LOC and not saints. The solution lies not in heated debates on TV and going back on the small steps that we have taken towards NORMALIZATION of relations . The solution lies in sitting down and resolving pending issues as per that forgotten Shimla agreement .There should be no LOC with troops deployed in 'eye ball' contact , we must have a IB like we have further down south . I believe we almost had a agreement (ex-diplomats on both sides have said so) till the Mumbai attacks came along and everything went into deep freeze . We must realize that there are vested interests who would like to keep the pot boiling but it is in the interest of the public on both sides to have normal relations the peace dividend is very large and poor countries like us can not afford to let it go . The common man on both sides must realize this and we must strive for normal relations (friendship is a long way off) in spite of the vested interests . Engagement and trade is the way forward . India and China are not friends but we trade a lot why not India and Pakistan?
What difference does this MFN status by Pakistan makes to India ?
Please for God sake, keep your MFN status for yourself.............
Really? They are kicking are sportsmen out and we are giving them MFN. More importantly, they have various non-tariff barriers designed against Pakistani exports, MFN to India does not make sense.