Business & Economy

EU mission in Pakistan for extension of lucrative trade status

Islamabad, June 22 (EFE).- A monitoring delegation from the European Union arrived in Islamabad on Wednesday for a potential extension of trade privileges to Pakistan beyond 2023.

The EU team would evaluate the effectiveness of the 27 international treaties Pakistan has ratified for the Generalized Scheme of Preferences-Plus (GSP+) that enables zero tariffs on two-thirds of imports from specified nations.

Some nations, including Pakistan, Sri Lanka, Uzbekistan, and the Philippines, have been granted GSP+ status by the EU on conditions to uphold 27 international treaties on human rights, labor rights, the environment, and good governance.

The EU offers wide-ranging import tariff advantages to help vulnerable developing nations eradicate poverty, promote sustainable development, and engage in the global economy.

Pakistan’s GSP+ status will expire in December 2023.

According to a press release from the visiting EU delegation, the legislative procedure to extend it for a further 10 years is still in progress.

The European Parliament and the Council will receive presentations on the mission’s findings towards the end of this year.

Pakistan exports 5.4 billion euros worth of goods to the EU market, which has over 440 million users.

The South Asian country supplies garments, bed linen, terry towels, hosiery, leather, sports, and surgical goods to the EU.

“GSP+ has been very beneficial for Pakistani businesses, increasing their exports to the EU market by 65 percent since the country joined (the tariff concession regime) in 2014,” the statement said.

The EU dispatches observation teams to Pakistan regularly to monitor the situation and report their findings to the EU Member States in the Council and the European Parliament.

Pakistan has so far had three biennial reviews completed in 2016, 2018, and 2020. EFE


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