National Assembly Standing Committee on Commerce and Textile on Monday grilled Commerce Division officials for unremarkable achievement in trade in the ASEAN (Association of Southeast Asian Nations) countries as well as Commercial Counselors. ASEAN comprises Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam with a nominal GDP of $ 2.31 trillion.
The committee presided over by Siraj Muhammad Khan, argued that when there is no achievement and trade with the ASEAN bloc is negative then what kind of engagement is in progress with respect to trade enhancement.
She further stated that the ASEAN-Pakistan Sectoral Dialogue relations were institutionalized through convening of the first meeting of the ASEAN-Pakistan Joint Sectoral Cooperation Committee (APJSCC) on February 5, 1999 in Bali. The APJSCC met six times with the last meeting held on November 2, 2017 in Jakarta.
Keeping in view the emerging status of ASEAN as the global hub for manufacturing, Pakistan desired to strengthen its relations with the bloc and was confident to achieve full dialogue partnership status, the Representative added. The Committee appreciated the performance of the ministry in that regard; however, it directed to accelerate the pace of negotiations at political and ministerial levels to achieve the target.
During APJSCC in 2010, it was decided that Pakistan will make a formal request to the ASEAN secretariat for commencing negotiations on the proposed Pak-ASEAN FTA. However, negotiations could not be initiated as Pakistan has not attained full dialogue partnership status with the ASEAN.
A Section Officer of the Commerce Ministry informed the committee that Singapore is basically opposing full membership of Pakistan due to its close relations with India. However, Chairman Standing Committee expressed dissatisfaction at the performance of Commerce Division with respect to enhancement of exports to ASEAN countries.
"We are negative in exports to the ASEAN countries and if Singapore is being held responsible for opposing Pakistan''s full membership then what is our Commercial Counselors'' in ASEAN countries doing? And why are we incurring huge expenditure on them?" he questioned. Additional Secretary, Javed Akbar Bhati, informed the committee that Pakistan has signed FTA with Malaysia and Preferential Trade Agreement (PTA) with Indonesia, members of the ASEAN.
The committee was further informed that Pakistan is Thailand''s second largest trade partner in South Asia and there is tremendous potential to further increase bilateral trade. During the 3rd session of Pak-Thai JTC, held on August 12-13, 2015, it was agreed by the two countries to enter into the FTA. Negotiations on the FTA began in 2015 and so far nine rounds have been held. Pakistan''s major imports from Thailand comprise mainly of automotive parts, tramway, machinery, etc., whereas exports are seafood, including fish and crustaceans, cotton, optical, photo, technical and medical apparatus, lead and articles and other textile articles.
Minister Commerce and Textile, Pervaiz Malik said that exports have posted a growth during the last six months and the government is using all its energies to increase exports. The committee was informed that depreciation of the rupee will be instrumental in increasing exports and declining imports. "Our exports will increase with this devaluation but at the same time, import bill will also decrease. We will carefully monitor this development in consultation with the Finance Division," said Additional Secretary.
In reply to a question, Additional Secretary Commerce said that the government is evaluating different ways to start a formal trade with Iran and in this regard meetings have been held between State Bank of Pakistan and Iranian Central Bank, adding that Commerce Division would submit a report to the committee after getting the required information from SBP.
Commerce Minister said that Pakistan has recently matured an order of 50,000 tons of rice to Indonesia and eight parties have been selected which would meet the export order. Ch Asad ur-Rehman said that with the doubling of the price of rice, rice growers are happy, and are requesting the government to expedite efforts to get more orders. He also suggested that wheat and sugarcane areas under cultivation should be diverted to maize. The issue of surplus wheat and sugar also came under discussion in the meeting.
Ch Asad-ur-Rehman said that Pakistan has become a consumer country instead of an exporting country. When he sought details of surplus produce no official of Commerce Division was aware of a surplus. Commerce Division tried to shift responsibility for flawed policies on the Finance Division, Ministry of Industries and Production and Federal Board of Revenue (FBR). Joint Secretary (EU and America) Asmir Nazir Gonal informed the committee that Commerce Division is suggesting starting a feasibility study for FTA with Chile.
Joint Secretary (Admin), Dr Nazim Latif apprised the committee that Commerce Division has proposed relocation of few trade offices where potential of export of Pakistani products is better than in other countries.
According to official statement, the committee while discussing the performance of Trade Officers in Pakistan''s Trade Missions abroad directed for monitoring of trade officers and exploring potential markets for Pakistani products. The Committee also directed for relocation of trade missions to countries where demand of Pakistani products existed. The Committee expressed its satisfaction on the performance of Pakistan Institute of Trade and Development (PITAD). The Committee recommended for inviting businessmen to share their diverse experience with the under training newly inducted Trade Officers and officers posted in trade missions abroad. The Committee also recommended for expanding training facilities in trade to the private sector.
Besides others, the meeting was attended Mrs. Seema Mohiuddin Jameeli, Waseem Akhtar Shaikh, Mian Muhammad Rasheed, Ms. Tahira Aurangzeb, Ms. Zeb Jaffar, Dr Shezra Mansab Ali Khan Kharral, Nazir Ahmed Bughio, Ms. Sajida Begum, Dr Fouzia Hameed, Additional Secretaries, Commerce and Textile Divisions and Senior Officers of the concerned departments.
Comments
Comments are closed.