ISLAMABAD: The two-day 7th Round of Commerce Secretary-level talks between India and Pakistan will start Thursday (September 20), to bolster economic and commercial co-operation between the two countries. Sources said on Wednesday that the issues of phasing out of negative list, opening of Wagha land route and preferential arrangements under Safta will be discussed, besides inking three agreements during the visit of the delegation.
Agreement of Cooperation and Mutual Assistance in Customs matters, Bilateral Cooperation Agreement between the Pakistan Standards and Quality Control Authority, Ministry of Science & Technology and The Bureau of Indian Standards, Ministry of Consumer Affairs, Food and Public Distribution and agreement on the Redressal of Trade Grievances are part of the parleys.
A 19-member delegation headed by Indian Secretary Commerce is in Pakistan to have Commerce Secretary-level talks with the Pakistani side. It is a review meeting and development in broad areas of co-operation, including power and petroleum products will be part of discussion. Opening of bank branches will also be reviewed.
Sources said that Secretary Commerce Munir Qureshi will lead Pakistan side in the talks and officials from ministries like foreign affairs, commerce, petroleum, water and power and natural resources and other officials from concerned departments will also participate in these discussions. Indian delegation led by S R Rao including Mrs Indra Murti, Urvind Suxena and Gopal Bhaglay Deputy High Commissioner India at Islamabad along with nine-member team are the participants of the two-day talks, to be concluded on Friday.
According to the agenda of the talks, three agreements for removal of non-tariff barriers will be signed at the conclusion of the talks. It also includes Agreement of Co-operation and Mutual Assistance in Customs matters. Second, Bilateral Co-operation Agreement between the Pakistan Standards and Quality Control Authority, Ministry of Science & Technology and The Bureau of Indian Standards, Ministry of Consumer Affairs, Food and Public Distribution and third on Redressal of Trade Grievances.
Pakistan and India initialled these three agreements during the visit of Indian Commerce Minister of Pakistan held on 13-16, February 2012. According to Ministry of Commerce, it is a review meeting and developments in broad areas of co-operation including import of 500MW power, import of POL products and opening of bank branches would also be part of the trade talks.
The issue of phasing out of negative list by Pakistan, opening of land route and preferential arrangements under South Asia Free Trade Area (Safta) agreement would also be discussed. Both sides are working closely to enhance trade co-operation through preferential trade arrangements under Safta. On August 18, 2012, Indian Cabinet had accorded approval for 30 percent reduction in Safta sensitive list.
Two hundred and forty-six tariff lines will accordingly be reduced from existing 878 lines, leaving just 614 lines. Out of 264 lines which are being reduced, 155 lines pertain to agricultural commodities, 106 textiles related lines and 3 are of petroleum products.
According to Ministry of Commerce officials, reduction in sensitive list by India and allowing import tariff concessions especially in agriculture and textile to benefit Pakistan as local exporters have potential to create their market in the Indian cities for their products.
During these talks possibility of a cross-border interconnection between the two countries to facilitate exchange and trade in electricity will be explored. The third meeting of the experts' group has been scheduled in October 2012 in India, sources maintained. An Indian technical delegation had visited Pakistan in May 28-29, 2012 to explore the possibility of trade in petroleum products between the two countries.
The second meeting of experts' group on trade in petroleum & petrochemical products between the two countries was held on 17-18 July, 2012 at New Delhi. The 2nd meeting of the experts' group will be held soon on mutually agreed dates. The Joint Working Group of Ministry of Interior, Pakistan and Ministry of Home Affairs, India has already signed agreement on visa facilitation for movement of business community as well as people across the border. The agreement has been signed during recent visit of Indian Foreign Minister to Pakistan, sources added.