Federation Of Pakistan Chambers Of Commerce And Industry Appreciates Govt Efforts For Extension In GSP-plus

Federation of Pakistan Chambers of Commerce and Industry(FPCCI) President Mian Anjum Nisar Monday described the extension to GSP-plus status for Pakistan from European Union as big achievement and predicted boost to country's exports to EU

KARACHI, (UrduPoint / Pakistan Point News - 9th Mar, 2020 ) :Federation of Pakistan Chambers of Commerce and Industry (FPCCI) President Mian Anjum Nisar Monday described the extension to GSP-plus status for Pakistan from European Union as big achievement and predicted boost to country's exports to EU.

However, diversification and value-addition in the export sectors was imperative to take full advantage of this facility granted by EU in 2013, he said in a statement.

President of FPCCI, which is the apex trade body of the country, highly appreciated and acknowledged the efforts of Advisor to the Prime Minister on Commerce and Textile Abdul Razzak Dawood for playing an instrumental role in getting extension of GSP-plus status for Pakistan from European Union.

FPCCI President proposed for a comprehensive strategy to get maximum benefits from GSP-plus facility by ensuring uplift of export-oriented sector through removal of all impediments.

He informed that Pakistan's export to EU was mainly dominated by textiles making 82 percent of total exports and it faced strict competition. Hence, all issues such as refunds claim, energy at the lowest rate and priorities to the export-oriented sector be resolved.

He said the gap in exports and imports of the country had widened that could only be reduced through promotion of exports that required government support and facilitation to produce exportable surplus at the competitive price to attract the global markets particularly of the European Union.

He said Pakistan was the major beneficiary of GSP-plus from EU which was the second largest trading partner of Pakistan after USA. It had positive trade balance with EU bloc. However, he continued, Pakistan needs to produce more exportable goods to capture the EU market as our exports in significant volume go only to six countries of the EU.

He informed that the GSP-plus allowed 20 percent of Pakistani exports to enter EU market at zero tariffs and the rest at preferential rates. It was expected that Pakistan's exports to the EU would increase after extension in GSP-plus. EU GSP-plus status was granted in 2013 and since then our export had increased to $ 7.9 billion from $ 6.2 billion but this increase was only in textile , while the exports of others products like carpet, pharmaceutical, iron, steel, edible fruit, oil seed, copper, plastic, sugar etc. had low penetration.

FPCCI President emphasized on diversification and value-addition in Pakistan's exports including in carpets, leather, furniture, plastics, sports goods and agriculture products to take full advantage of GSP-plus facility.

He also suggested to increase lobbying for more investment inflow to Pakistan from EU as the former has improved the business environment by bringing several reforms.