Pakistan and Turkey sign trade agreement

ISLAMABAD, August 12 (NNI): Pakistan and Türkiye successfully concluded the Trade in Goods Agreement which was signed by Pakistan’s Minister of Commerce Syed Naveed Qamar and Turkish Minister of Trade Mehmet Mus in a ceremony held in the Prime Minister’s Office in Islamabad on Friday.
The trade agreement was the key agenda during the recent visit of Prime Minister Mian Muhammad Shahbaz Sharif to Türkiye in May 2022. During the visit, the leadership of both countries expressed keen interest in expediting and concluding the negotiations by July 2022.
The Prime Minister of Pakistan took personal interest in the matter, and on his directions, the Trade Agreement was concluded in a record time. The Prime Minister congratulated Minister for Commerce Syed Naveed Qamar on providing excellent leadership in concluding the Agreement and lauded the efforts of Ministry of Commerce of Pakistan and Ministry of Trade of Turkiye, who also expeditiously worked on their side on the directions of President of Turkiye Mr. Recep Tayyip Erdogan.
Minister for Commerce Syed Naveed Qamar hoped that the Agreement would not only pave way for further enhancing trade and investment between the two countries but would also strengthen the already existing friendly ties.
The Agreement on Trade in Goods is an important breakthrough in improving the economic relations between both countries. Under the Agreement, Pakistan’s exporters will have market access in Türkiye in 261 Tariff Lines covering both agriculture and the industrial sector. Pakistan’s exporters will have market access in traditional sectors such as leather, rice, dates, mangoes, cutlery, and sports goods. In addition, exporters will also have market access in many non-traditional sectors such as tyres, fans, batteries, glass, ceramics, plastics, fisheries, processed agriculture, razors, furniture and base metals.
Turkish import market in the sectors covered under the agreement amounts to USD 7.6 billion highlighting significant potential for Pakistan’s exporters to increase their market share. Signing of this Agreement will increase competitiveness of Pakistan’s exporters and provide them with better market access compared to regional competitors. Pakistan is already exporting USD 5.1 billion to other countries in the products covered by the Pakistan Türkiye Trade in Goods Agreement and it is important that exporters utilize the concession under the agreement and increase their exports to Türkiye.
During the negotiations, The Ministry of Commerce carried out extensive consultations with the private sector to ensure that input from domestic industry is incorporated and reflected in the Agreement.
Pakistan’s goods exports in fiscal year 2022 reached a historic high of USD 31.76 billion and it is a key policy objective of the Ministry of Commerce to promote sustainable exports growth through better market access and effective domestic policy.
Both the countries have also expressed the desire to expand the scope of the Trade in Goods Agreement in future to cover more products and to also incorporate deeper market access in services and investment. NNI