ISLAMABAD:
In an attempt to boost Indo-Pak business to a proposed six billion dollars, Pakistan is most likely to grant most favoured nation (MFN) status to India next month, a junior commerce minister told the Senate on Thursday.
Minister of State for Commerce Abbas Khan Afridi’s statement contradicts media reports that Islamabad might delay awarding MFN status to India, as the government was facing pressure from various stakeholders, particularly industrialists associated with the textile industry.
Several lawmakers previously told parliament and the media, that the move to grant MFN-status to New Delhi had been delayed so that the government could consult industries that have expressed reservations in this regard.
Islamabad has already missed the December 31 deadline to grant MFN status to New Delhi, as well as putting an end to the Negative List regime.
Responding to a question posed by Pakistan Muslim League - Quaid (PML-Q) Senator Najma Hameed, State Commerce Minister Abbas Afridi informed lawmakers that the government is set to implement this decision next month.
“We want this credit [of granting MFN status to India]. We are heading towards the final stage now,” said Afridi.
“MFN status will be awarded to India by prioritising state’s interests – taking all stakeholders on board in Pakistan,” he added.
In her question, Senator Hameed sought the progress made on granting MFN status to India as well as the benefits that Pakistan wanted to achieve after awarding this new status.
Responding to the query, Federal Commerce Minister Makhdoom Amin Fahim informed the house that the issue is moving in a positive trajectory. He clarified that after awarding this status to India, New Delhi will have no excuse not to promote business in the region.
New Delhi has been repeatedly accusing Pakistan of not fulfilling the criteria set by the World Trade Organization (WTO).
“At various multilateral economic forums, India would not be able to say that Pakistan is being non-compliant to WTO agreements, in terms of holding back MFN status from a WTO member state,” Fahim said.
The policy of new visa regime between the regional giants has already been implemented, where both the countries signed three agreements in September last year, for countering the non-tariff barrier issues faced by Pakistani exporters, stated the minister in his written reply to the Senate.
Explaining the benefits of MFN, Fahim said trade costs will be reduced due to the availability of raw materials, machinery firms have production/manufacturing facilities in India which will subsequently lower costs for Pakistani manufacturers.
Published in The Express Tribune, January 25th, 2013.
COMMENTS (5)
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"@Singh:Pakistan has signed in WTO form. & it has to follow the rules." Pakistan signed WTO's form and in that form any where this is not written that Pakistan has to declare India the Most Favorite Nation and WTO is a trade organization not the organization for giving the Most Favorite Nation's status to any country and if this has been compulsory and obligatory for conscienceless Pakistani leaders to give the Most Favorite Nation status then China and Iran more deserve this status to be declared than India for us (Pakistanis) because China and Iran never harmed Pakistan since 1947 as India harmed Pakistan and if this has been compulsory,obligatory and coercion for Pakistan to declare any country as the Most Favorite Nation according to the WTO's agreement then why Pakistan doesn't declare China and Iran as the Most Favorite Nations and why India is the only option/country for Pakistan to be declared as the Most Favorite Nation?
I strongly feel that all Pakistani members on this Forum should Petion the Government of Pakistan not Grant MFN Status to India and all Indian members on this Forum should Petion the Government of India withdraw the Indian MFN Status granted to Pakistan. . Basta! End of Story!! Finito!!! . Now both countries should seal their Borders for Ten Years and at the end of that Period consider whether the orders should remain sealed or Opened. . India will have TEN Years of Freedom from Terrorism. . Cheers
@Clear Black Bag: Are you living in bubble or global village. Pakistan has signed in WTO form. & it has to follow the rules. Judging from your comment, you select right name for yourself. Clear Black bag on wisdom.
The greatest ever shame,curse and woe be on the Pakistani leadership for doing so because I am sure Pakistani leaders have forgotten the innocent and sinless Kashmiri martyred people's blood and sacrifices for freedom struggle and the killings of innocent Pakistani soldiers on LoC by the Indian troops and if Pakistan shall not declare India the Most Favorite Nation then what shall go wrongful whereas conscienceless Pakistani leaders have accepted India the Most Favorite Nation by heart and soul and if shall not declare India the Most Favorite Nation formally and officially then there is nothing going wrongful.....
"MFN status likely to be granted to India next month". So what? What is the fuss about. Pakistan is doing this as per WTO obligations. It's doing favour only to itself.