Pakistani Business Community Hopes for Zero Duty Access to the US Market

Pakistani business community is hoping that Prime Minister Imran Khan’s upcoming visit to the United States of America (USA) would bring both countries closer and help them explore new avenues for mutual cooperation. They are also seeking direct access to the American market on zero rate duty to help stabilize the economy.

In a press statement issued on Sunday, Founder Chairman Pak-US business Council, Iftikhar Ali Malik, said that Pakistan needs immediate direct access to US markets, not aid, as it has suffered colossal financial loss for playing a frontline role in the war on terror. The US must support Pakistan to achieve its economic prosperity and self-reliance.

Malik said that joint efforts are needed to further cement the existing economic ties between Pakistan and the US private sector. He said Pakistan and US are enjoying an amicable relationship and are coalition partners against the war on terror.

He also demanded that US President Donald Trump should announce incentives for the revival of the Pakistani economy, as the country has suffered economically in the war against terror.

Iftikhar Malik, who is also the vice president of SAARC chamber, said that the USA is the largest trading partner of Pakistan with a trading volume of over $6.7 billion. He added that Pakistan’s major exports to the United States are sports goods, surgical goods, leather, and finished leather products, textile, cotton yarn, garments, carpets, and rice.

“Pakistan’s main imports from the US are electrical machinery, equipment, medicines, dry fruits, perfumes, coffee, mangoes, dates, and other food items,” he said.

Malik also called for negotiation on a bilateral investment treaty for promotion of investment. He suggested that both the countries should expand cooperation on the 2013 Joint Action Plan on Trade and Investment, as the US remains Pakistan’s significant source of foreign direct investment.

Moreover, the chairman said that the USA should remove bottlenecks in the bilateral investment treaty and efforts should be made on signing a free trade agreement (FTA) at the earliest.

He said,

It’s imperative that the USA should offer the same packages and incentives which it offered to Bangladesh and Sri Lanka in textile exports, such as duty concessions and market access. There must be an incentive package for Pakistan for being a front-line state in combating terrorism with the USA. There is a need for duty cut and market access for Pakistani textile goods to the USA.

He added that visa restrictions should be eased for the Pakistani businessmen and exporters and joint efforts are needed to further strengthen the existing economic ties between Pakistan and US private sector.

Iftikhar urged that relations should be restored to the level of pre 9/11 days, adding that good relations between the US and the Muslim Ummah would help restore confidence and attain world peace.

With South Asia becoming the hub of international economic activity, restoration of peace in the region is all the more necessary, he concluded.