WTO to review duty exemption
Many countries have agreed on granting concessions.
ISLAMABAD:
Pakistan is likely to receive approval for EU duty exemptions from the World Trade Organisation (WTO) at a meeting called on January 31, 2011 as countries including Bangladesh and those in Latin America are expected to give their consent on this issue, a spokesperson for the commerce ministry told The Express Tribune.
In the previous meeting, some countries, including India, had expressed their concern over the entry of certain Pakistani goods into European Union (EU) markets.
India was of the view that if the world wants to help the flood survivors in Pakistan then it should provide financial help and take measures for rehabilitation of flood-hit areas instead of giving duty exemption to Pakistani goods.
Secondly, India also believes that goods which are requested to be exempted from duty are manufactured in industries which are located at scattered places and not reserved to only the flood-affected areas. Therefore, provision of duty exemption is not going to benefit the flood survivors.
Though EU is trying to convince India over the issue but Pakistan cannot directly talk to India as the negotiations between the two are suspended. EU has not extended such a favour to any non-European country in the past.
Majority of the WTO member countries have already agreed on granting duty exemption to Pakistani goods but India is creating hurdles in the case. Sources said if Pakistan is allowed duty exemption on its goods with the mutual consent of all member countries in the next WTO meeting then it will get access to EU markets for an additional $500 million worth of goods.
Published in The Express Tribune, January 1st, 2011.
Pakistan is likely to receive approval for EU duty exemptions from the World Trade Organisation (WTO) at a meeting called on January 31, 2011 as countries including Bangladesh and those in Latin America are expected to give their consent on this issue, a spokesperson for the commerce ministry told The Express Tribune.
In the previous meeting, some countries, including India, had expressed their concern over the entry of certain Pakistani goods into European Union (EU) markets.
India was of the view that if the world wants to help the flood survivors in Pakistan then it should provide financial help and take measures for rehabilitation of flood-hit areas instead of giving duty exemption to Pakistani goods.
Secondly, India also believes that goods which are requested to be exempted from duty are manufactured in industries which are located at scattered places and not reserved to only the flood-affected areas. Therefore, provision of duty exemption is not going to benefit the flood survivors.
Though EU is trying to convince India over the issue but Pakistan cannot directly talk to India as the negotiations between the two are suspended. EU has not extended such a favour to any non-European country in the past.
Majority of the WTO member countries have already agreed on granting duty exemption to Pakistani goods but India is creating hurdles in the case. Sources said if Pakistan is allowed duty exemption on its goods with the mutual consent of all member countries in the next WTO meeting then it will get access to EU markets for an additional $500 million worth of goods.
Published in The Express Tribune, January 1st, 2011.