MFN status likely to be granted to India next month
Junior minister’s statement contradicts media reports that Islamabad might delay process.
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. ILLUSTRATION: JAMAL KHURSHID.
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.
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.