Trade policy likely by month-end

07 Jul, 2004

The new Trade Policy, for 2004-05, focusing on the challenges of globalisation, will be announced by the end of this month, sources said here on Tuesday.
Commerce Ministry sources told Business Recorder that preparations for the new trade policy are in full swing and it is likely to be announced after July 20.
They said that focus of the new policy would be on how to put the house in order after the implementation of World Trade Organisation (WTO) regime.
In the wake of free textile quota regime from 2005, major area of thrust in the new policy would be textile sector which earns 65 percent of the country's exports, they added.
Under the WTO, its member countries will have to abolish all quotas of textile products by the end of this year.
Pakistan's exports heavily rely on textile products and its economic managers believe that the advent of quota-free regime will further boost country's textile exports.
Commerce Ministry officials said that the government is planning to devise a strategy to reduce the soaring trade deficit. However, at the same time, economic managers are not bothered about the increase in imports during last fiscal year because, according to them, the imports consist of heavy machinery which is vital for the country's industry.
Sources said that no final decision has yet been taken about the next year's import and export targets but added that with the growth in economy, the exports target for fiscal year 2004-05 would be higher than last year.
According to sources, other main features of new trade policy would be: production of value-added items; introduction of latest technology in industrial sector; focus on quality besides improving trade with friendly countries in the region in particular and the world in general.

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