ISLAMABAD – In pursuit of granting India the status of Most-Favored Nation (MFN), Pakistan is considering to abolish negative list of as many as 1,209 items, previously banned to be imported from India, in one go.
According to the reported news, Federal Cabinet is scheduled to convene a special session on Friday (March 21) where the federal finance minister Ishaq Dar will brief the cabinet about the offers from India.
Quoting a very reliable source from the ministry of commerce and trade, country’s largest English daily reported on Tuesday that Pakistan will grant MFN status to India with a condition of receiving a substantial concessions in trade from New Delhi.
What will India get?
- 24/7 access and trade via Wagah border.
- 1,209 items’ negative list will be abolished.
- Eventually, in the second phase, India will get the transit route to Central Asian Republics and Afghanistan.
What will Pakistan get?
- Reduction in duties to 7.5 percent within six months and to 5 percent within an year.
- Export of Punjab based textile industry.
- Negative list of items will immediately be reduced to 100 items.
- Expected export volume of textile with India will mount to $1 billion, cement $300 billion, chemicals $200 million, agricultural products $300 million, mineral products $100 million.
However, it is worth mentioning that India is not willing to remove National Trade Barriers (NTBs) and customs duties for Pakistani products. A country does that to protect its local industry.