Pakistan Textile Exporters Association (PTEA) has hailed the Pakistan-China early harvesting programmes of free trade agreement (FTA) allowing duty free access to Pakistani textiles as a big breakthrough for Pakistan in the new World Trade Organisation (WTO) regime.
Welcoming the positive development Faiq Jawed chairman, Pakistan Textile Exporters Association (PTEA), said that Chinese market had been considered as highly protective and inaccessible for Pakistani exporters on two counts. First there were prohibitive tariff barriers and regulatory restrictions on import of textile items in China.
Secondly, the exporters had been daunted by impression that China was a major cotton producing country and hence the idea of export to China was unfeasible. He said, while first hitch was reality the second was only whimsical.
Even if china was major cotton producing yet the total cotton production could not fulfil its domestic requirements, argued by Faiq Jawed. Further Pakistani Textile Industry enjoyed superiority in spinning and weaving of medium quality yarn and cloth, he added.
Thus Pakistani Fabrics had the potential to get a foothold in the Chinese market if the hurdle of regulatory restrictions and tariff walls were reduced, he said.
Now that the Chinese market is opening us with the commencing of New World trade order and china has entered into free trade agreement (FTA) with Pakistan; allowing duty free access to Pakistani Textiles from January 2006; Pakistani exporters would be able to market their fabrics to China, opined PTEA chief.
He pointed out that there was huge potential of export of made-ups.
Particularly the Pakistani exporters could successfully market bed sheets in China on the basis of its world-renowned quality and variety of prints as well as the competitive price to cater all sections of the billion plus population of china.
Elaborating the potential of E.H.P. Faiq Jawed said that with the import of duty free machinery from China, the textile industry in Pakistan would profitably implement its balancing modernisation and replenishment (BMR) programme of improving their production line capacity and standardisation of their manufacturing facilities.
Additionally the duty free import of dyes, chemicals and auxiliary raw material would help the textile exporters to further cut the cost of doing business in Pakistan and give a boost to country's exports, he congratulated commerce minister Humayun Akhtar Khan, commerce secretary Tasneem M. Noorani and Zafar Mahmood, Vice Chairman EPB for this achievement.
Meanwhile, the chairman, Faisalabad Dry Port Trust Shahzad Ali Siddiqi has welcomed the decision of Pakistan and China for zero rate duty on 52 items and said that the agreement would help a lot in boosting bilateral trade between both the friendly countries Pakistan and China.
Talking to newsmen, he said that the zero rating duty on Chinese industrial machinery and chemical raw material would help Pakistan in setting up new industrial units and modernisation of the existing units.
He said that it is very good omen that Pakistan will export 50 items to China on zero rated duty which include bed linen, table linen and other home textile, terry towels, blended fabrics, synthetic yarn, synthetic fabrics, mangoes, oranges, dates, tarpaulin and marble articles like tiles etc, surgical goods, sports goods, curtillery, certain dyes, guargum and medicines.
The agreement for zero rated duty on 52 items was arrived at a meeting held in Beijing (China) on Friday between the officials of Export Promotion Bureau and Chinese Ministry of Commerce. He congratulated the vice chairman Export Promotion Bureau Zafar Mahmood who led the Pakistan side at the meeting and worked out the duty freed structure under the early harvesting programme (EHP) which is a part of free trade agreement.
Concluding, Shahzad Ali Siddiqi suggested that in order to further boost business ties between Pakistan and China the exchange of frequent visits of trade delegation is imperative. He urged the Ministry of Commerce to nominate heads of all the trade bodies operating in Pakistan in the Pakistani trade delegation.
Comments
Comments are closed.