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The Pak-EU relationship

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By Shada Islam, Daniel Korski and Fabrice Pothier
Tuesday, 16 Jun, 2009 | 11:18 AM PST |

When EU leaders hold their first ever summit with Pakistan on June 17, they will meet a country at a critical juncture. After two months of warfare, the Islamabad government has regained territory in Swat and Malakand from the Pakistani Taliban. Feeling pressured, the militants are now striking back the best way they can – through terror and bombings, such as the attacks seen in Peshawar.

How Islamabad deals with the three fronts of the current crisis - security, governance and humanitarian - will determine whether Pakistan slides back to its old habits of denial and fragmentation, or whether it can uphold the fragile but genuine momentum for change.

Through a three-pillar stabilization package using aid and governance tools, while boosting trade and development, the EU can play a critical role in making Pakistan's change a lasting one. For the EU –Pakistan summit to be the start of a true strategic cooperation between Europe and Pakistan, Brussels and its institutions will need a stronger mandate from European capitals.

First the EU should help address the unprecedented humanitarian crisis triggered by the military offensive. The number of internally displaced people is a staggering two million in addition to the 500,000 made homeless by an earlier operation in Bajaur. This may in the long-term hamper Pakistan’s economic recovery; in the short-term, it undermines the military’s hard-fought gains. The reason: the Pakistani government’s inability to deliver post-combat assistance to the 2.5 million displaced people who are easy prey for charity-cum-extremists such as Lashkar-e-Taiba. As Pakistani forces fight today’s enemy, they may inadvertently be swelling the ranks of future foes.

The EU should begin by matching the recent US pledge of more than 200 million US dollars (142 million euros) in humanitarian aid. Its 5.5 million euro humanitarian aid package pledged so far - in the light of the half-billion dollar appeal from the UN - and the fact that not a single EU commissioner has visited the refugees speak volumes of the EU’s neglect.

For those EU countries that do not have bilateral ties with Pakistan, the establishment of a 'Frontier Emergency Fund' would help channel aid into quick-impact projects. Small donations of a million or even half a million euros could make a difference. Such a fund would also help reinforce the credibility of Pakistan’s civilian government by providing assistance to support state services, including the provision of security, electricity and potable water.

Beyond the emergency situation, the EU should focus on what it does best: trade and development. The EU must listen carefully to Pakistan’s requirements and, despite misgivings and technical blockages, explore the pros and cons of opening negotiations on a Free Trade Agreement (FTA). Doing so will send a powerful political signal that few other overtures can.

Increased access to trade financing is also necessary to ensure a continuation of exports despite the financial crisis. Boosting Pakistan’s private sector should be another key priority. According to the Asian Development Bank, Pakistan’s private sector is the biggest contributor to GDP as well as Pakistan’s biggest employer. The EU should help remove bureaucratic bottlenecks, which prevent the emergence of more freer, more dynamic private sector.

The EU should then launch a Rule of Law Review Task Force with the Pakistani authorities to identify gaps and needs in resources and training within the civilian security forces and the judicial sector. Such a joint body could make recommendations on how develop an effective civilian counter-terrorism strategy, which emphasizes police and legal action rather than exclusively military efforts and targets EU assistance not only to the frontline, but also to policing Sind and Punjab provinces.

This need not be a traditional ESPD mission, but 'smart ESDP', i.e. not boots-on-the-ground, but a boutique intervention with few, long-serving experts working in partnership with the Pakistani authorities and with co-location tied to out-of-country training for the top echelons of Pakistan’s police and judiciary.

Finally, the summit must signal an EU shift away from backing Pakistan’s political flavour of the month to helping build strong institutions and investing in civil society, which is vibrant, dynamic and committed to democracy. Groups that deserve support include lawyers' organisations, women's groups, human rights activists and the media, where the focus should be on ensuring media independence and journalism training.

In the last two years, Pakistan's civil society proved its essential role in deepening democracy. Based on the recommendations of its own election mission from last year, the EU should approach the Pakistani authorities to explore ways to jointly support strengthening of democratic institutions, including the modernisation of political parties and the electoral framework.

Pakistan is at a cross-road and will need EU help and encouragement to take the right turn. The EU-Pakistan summit should mark the beginning of a new strategic partnership, which helps the Islamabad government deal with the immediate crisis and helps transform a weakened state into a modern Muslim democracy in the heart of South Asia.

*Fabrice Pothier is Director of Carnegie Europe; Shada Islam is Dawn’s EU correspondent and also leads the Asia programme at the European Policy Centre; Daniel Korski is a Senior Policy Fellow at the European Council on Foreign Relations. This memo does not reflect the views of the organizations but only the views of its authors.
 

Wednesday, 17 Jun, 2009 | 04:35 PM PST |

BRUSSELS: President Asif Ali Zardari said Wednesday he hoped to secure better access to European markets rather than more aid, ahead of a landmark EU-Pakistan summit focused in part on trade.

‘What I need is trade, not aid. I'm looking for MOUs (memoranda of understanding) and not IOUs and I intend to get them,’ he told journalists after meeting with Nato ambassadors in Brussels.

‘I'm always hopeful. I'm a man who has walked from the gallows to the presidency.’

Zardari was speaking shortly before heading to the first ever EU-Pakistan summit where trade links are to top the agenda with the ultimate goal being further down the line of a free trade agreement.

According to a draft text, the EU will ‘explore’ how Pakistan could benefit from its preferential tariff regime, which affords customs privileges in return for respecting principles in the areas of workers' rights and the environment.

Meanwhile, a European Commission official said the EU will pledge to give Pakistan 20 million euros in humanitarian aid to help cope with the aftermath of fighting in the Swat valley.

The official said the executive Commission would also urge member states to set aside a further 45 million euros in aid from a reserve fund during a summit that will discuss the fight against terrorism and trade.

‘The Commission will announce later today that the EU will give Pakistan 20 million euros in humanitarian aid,’ the official said before talks scheduled between President Zardari and EU officials.

‘The Commission will also request from member states and the European Parliament to provide an additional 45 million euros from the EU's reserve fund,’ the official said, referring to a fund set aside for emergencies.

The summit is the first between the 27-country EU and Pakistan. — AFP/Reuters
 

Wednesday, 17 Jun, 2009 | 04:35 PM PST |

BRUSSELS: President Asif Ali Zardari said Wednesday he hoped to secure better access to European markets rather than more aid, ahead of a landmark EU-Pakistan summit focused in part on trade.

‘What I need is trade, not aid. I'm looking for MOUs (memoranda of understanding) and not IOUs and I intend to get them,’ he told journalists after meeting with Nato ambassadors in Brussels.

‘I'm always hopeful. I'm a man who has walked from the gallows to the presidency.’

Zardari was speaking shortly before heading to the first ever EU-Pakistan summit where trade links are to top the agenda with the ultimate goal being further down the line of a free trade agreement.

According to a draft text, the EU will ‘explore’ how Pakistan could benefit from its preferential tariff regime, which affords customs privileges in return for respecting principles in the areas of workers' rights and the environment.

Meanwhile, a European Commission official said the EU will pledge to give Pakistan 20 million euros in humanitarian aid to help cope with the aftermath of fighting in the Swat valley.

The official said the executive Commission would also urge member states to set aside a further 45 million euros in aid from a reserve fund during a summit that will discuss the fight against terrorism and trade.

‘The Commission will announce later today that the EU will give Pakistan 20 million euros in humanitarian aid,’ the official said before talks scheduled between President Zardari and EU officials.

‘The Commission will also request from member states and the European Parliament to provide an additional 45 million euros from the EU's reserve fund,’ the official said, referring to a fund set aside for emergencies.

The summit is the first between the 27-country EU and Pakistan. — AFP/Reuters


OUR "ME ME" President should replace ME and I with WE and US , as he is elected by parliament and he is not a dictator ! however i still appreciate his statement asking for trade not aid "
 
Pakistan and EU in 'terror' talks

Pakistani President Asif Ali Zardari is meeting Nato and European Union leaders in Brussels for talks on boosting security co-operation and trade links.

Speaking after a meeting at Nato's headquarters, President Zardari said: "Defeat is not an option for us."

The worsening security situation in Pakistan has made it a key foreign policy priority for Nato and the EU.

The talks come as Pakistan says it is about to launch a major assault against the Taliban along the Afghan border.

On Tuesday, a US Senate committee voted in favour of trebling non-military aid to Pakistan to $7.5bn over five years.

'Determination'

The BBC's Dominic Hughes in Brussels says the fight against terrorism will dominate the first ever summit between the EU and Pakistan.

EU counter terrorism officials have warned of the threat of attack from young Europeans radicalised and trained in Pakistan.

To combat that threat, the EU is looking at closer security co-operation but will also boost trade links as a prelude to a possible free trade agreement.

Europe is also set to offer more aid to help with the humanitarian crisis facing refugees fleeing fighting between Pakistani forces and the Taliban in the Swat valley and other parts of north-west Pakistan.

Our correspondent says it is unusual for a relatively insignificant trading partner like Pakistan to be given this kind of treatment - the fact the summit is taking place at all is a sign of how bad things have got.

Speaking after a meeting at Nato's headquarters, President Zardari said the army was determined to win the war against the Taliban.

"The war has just started so I can't tell you how it's going. I can tell you that my determination to fight is there, my army's determination to fight is there, my people's determination to fight is there."

He spoke of a "constructive dialogue" with Nato and said Pakistan would work in close partnership with the alliance.

Taleban 'digging in'


In Pakistan itself preparations are continuing for what the authorities have called a full-fledged military operation against the leader of the Pakistan Taliban, Baitullah Mehsud.

His network of fighters has accepted responsibility for - or been blamed for - many suicide bombings in Pakistan.

But military experts in Pakistan agree that defeating the Taliban in their main sanctuary in the rugged and mountainous tribal area of South Waziristan is likely to be a far tougher challenge than the offensive seen over the past seven weeks in and around Swat.

Tribal elders in the region are quoted as saying the Taliban are digging tunnels in the mountains to protect themselves against bombing.

And, with two million people already displaced by the earlier offensive, more civilians are reported to be on the move out of South Waziristan ahead of the new operation.

"The total figure of internally displaced persons is likely to rise as military operations extend into other areas," aid group Oxfam said in a statement.

BBC NEWS | South Asia | Pakistan and EU in 'terror' talks
 

BRUSSELS (June 17 2009): The European Union wants to boost Pakistan in its fight against militants at their first ever joint summit in Brussels on Wednesday as part of Europe's own efforts to fight insurgents in Afghanistan, EU officials said Tuesday. "We want to show Pakistan that we haven't forgotten them - and the fact that they're next door to Afghanistan," an EU diplomat told the German Press Agency dpa.

Pakistan is currently fighting an increasingly bitter war against Taliban-linked militants in the mountainous north-west of the country. Just over the border, in Afghanistan, European soldiers are fighting the same militants under the banner of Nato.

According to a draft of the summit statement seen by the German Press Agency dpa, security is set to be the summit's dominant theme. "Violent extremism represents the greatest threat to the security and integrity of Pakistan," while international aid in the fight against the insurgency is of "critical importance," it says. In particular, the EU is expected to offer more aid to help the hundreds of thousands of civilians who have fled the fighting in the north, and to offer more support to the Pakistani police. The two sides are set to call for confidence-boosting measures with India as a first step towards reducing tensions between the nuclear-armed neighbours.

Trade is also set to feature high on the agenda, with the draft summit declaration calling for an improvement of trade links between Pakistan and its neighbours. The text also holds out the hope of a free-trade agreement between the EU and Pakistan, although this would be "in the longer term." And it says that the EU "will explore" ways of updating its system of preferential tariffs when this is reviewed in 2012, "thereby allowing new beneficiaries, including possibly Pakistan, to take advantage of this scheme."
 

Wednesday, 17 Jun, 2009 | 04:35 PM PST |

BRUSSELS: President Asif Ali Zardari said Wednesday he hoped to secure better access to European markets rather than more aid, ahead of a landmark EU-Pakistan summit focused in part on trade.

‘What I need is trade, not aid. I'm looking for MOUs (memoranda of understanding) and not IOUs and I intend to get them,’ he told journalists after meeting with Nato ambassadors in Brussels.

‘I'm always hopeful. I'm a man who has walked from the gallows to the presidency.’

Zardari was speaking shortly before heading to the first ever EU-Pakistan summit where trade links are to top the agenda with the ultimate goal being further down the line of a free trade agreement.

According to a draft text, the EU will ‘explore’ how Pakistan could benefit from its preferential tariff regime, which affords customs privileges in return for respecting principles in the areas of workers' rights and the environment.

Meanwhile, a European Commission official said the EU will pledge to give Pakistan 20 million euros in humanitarian aid to help cope with the aftermath of fighting in the Swat valley.

The official said the executive Commission would also urge member states to set aside a further 45 million euros in aid from a reserve fund during a summit that will discuss the fight against terrorism and trade.

‘The Commission will announce later today that the EU will give Pakistan 20 million euros in humanitarian aid,’ the official said before talks scheduled between President Zardari and EU officials.

‘The Commission will also request from member states and the European Parliament to provide an additional 45 million euros from the EU's reserve fund,’ the official said, referring to a fund set aside for emergencies.

The summit is the first between the 27-country EU and Pakistan. — AFP/Reuters

What of any significant value can Pakistan export or trade with Europe?

Is it the usual textiles, rice, vegetables, or surgical and sports equipment?


If we gain access to European markets, what is our capability to increase our output and supply to meet whatever increase demand there is or maybe in Europe for our products?


Also how will the government facilitate the trade between Pakistani companies in their goal to achieve a market presence and good income from the trade with Europe? Will the government offer subsidies to major Pakistani companies wanting to trade and export to Europe, to enhance and speed up the process?




These are concerns and questions we should ponder.


European markets are difficult to compete in and Europeans have a distinct taste for European made goods, if Pakistani products are to succeed we must tailor our products to European liking and fashion.
 
I hope all goes well we need trade and need to booast back up Pakistan to surive and move along the world inshallah this will happen soon lets hope for the best!
 
I was just reading up on some published news about previous Pakistani exports to Europe.


Story #1

Pakistan eyes 1 million-ton rice export to EU

Friday, 05 December 2008
Daily Times: Karachi - Around one million tonnes of rice will be exported to the European countries owing to bumper crop this year, Rahim Janoo, chairman Rice Exporters Association of Pakistan (REAP) has said. Last year the figure stood at 80,000 tonnes. Janoo told Daily Times that the estimated target has been set as the demand from the European countries is increasing. About 500,000 tones of rice would also be exported to African countries including Kenya (250,000 tonnes) during the period between January to June 2009. He said that Kenya is the largest export market of rice in Africa. Pakistan has exported around 27,688 tonnes of rice to Kenya from 1 July to November 2008. Irri-6 is the main rice being exported to Kenya.

Read the full story.

Source: News & Events - Pakistan eyes 1 million-ton rice export to EU





Story #2



"A formal notification to this effect has been issued in the EU’s official journal. It is hoped that the EU decision would increase Pakistan’s exports of bed sheets to the European markets.
The EU had slapped the Anti-dumping Duty of 13.1 per cent in early 2004, but following the protest of Pakistani exporters, the EU immediately had announced a partial review.
In the first review, the duty was brought down to 9.9 per cent, which was further cut down to 7.6 per cent in second review. The duty was further cut down to 5.8 per cent on May 06, 2006.
The EU’s duty of 5.8 per cent has been making the Pakistani exports competitive against other suppliers. After the imposition of this duty, Pakistan had lost a major share of bed linen exports and China and India benefited through from that....

Pakistan’s exports of bed linen to European Union during 2007-08 was US $ 842.7 and has 44 per cent of the total EU’s market share. The imposition of Anti dumping Duty declined the exports. This decision would boost the exports of Pakistan. The government had been lobbying for the removal of the duty for the last few years."

Source: EU scraps anti-dumping duty on Pak bedlinen exports | Pakistan | News | Newspaper | Daily | English | Online



Any interesting material Pakistan should produce consumer goods and export them to Europe, now would be a good time.
 
EU warns of collapsing Pakistan, upbeat about India ties

Wed, Jul 1 02:50 PM

New Delhi, July 1 (IANS) Warning of the 'danger of the collapse of Pakistan' to the region, the European Union (EU) plans to expand cooperation with India in countering terrorism, with the EU's counter-terror coordinator expected in New Delhi soon.

'Terrorism is a matter of great concern. We want more cooperation with India in countering terrorism,' Swedish Ambassador to India Lars-Olof Lindgren told IANS in an interview Wednesday, the day Stockholm took over the six-month rotating presidency of the 27-member EU.

'Our cooperation with India in countering terrorism is stronger than before. We plan to cooperate at various levels,' the Swedish envoy said when asked about the EU's priorities for its forthcoming summit with India Nov 6 in New Delhi.

The EU's counter-terrorism coordinator Gilles de Kerkove is set to visit India soon, the envoy said.

The envoy, however, trod cautiously on the EU's aid to Pakistan amid reports that such financial assistance, like the one given by the US, had been allegedly used by Islamabad in the past to fund anti-India terrorist activities.

'A democratic and stable Pakistan is in the interests of all of us. It's a danger to the region if Pakistan is collapsing,' he replied when asked what India and the EU can do to stop terrorism emanating from Pakistan.

'The only way out is to support capabilities of the government to control their own territory and not to allow it to host militant outfits,' he said when asked about Pakistan's tardy response in bringing the Mumbai attackers to justice.

Last month, the EU held its first summit with Pakistan and offered $100 million aid, trade concessions and help in the area of counterterrorism. The EU had pledged 485 million euros for Pakistan over five years at an international donors' conference in April.

Spelling out key priorities of the Swedish presidency of the EU, the Swedish envoy said the focus will be on forging a collective response to dealing with the global financial crisis, working for a coherent European position on a major climate deal at the conference in Copenhagen in December, promoting clean energy and enlargement of the EU.

Conjuring up a robust picture of the burgeoning India-EU partnership, the envoy said negotiations on a broad-based trade and investment pact are set to get 'a major momentum' in days to come. Bilateral trade between India and EU is estimated to be over $50 billion. The two sides agreed to double bilateral trade in another five years at the last summit in Marseilles.

'India is an important partner. There is a huge potential waiting to be tapped. Under the Swedish presidency, we hope the India-EU ties will scale new heights,' said the Swedish envoy.

'We will continue to make EU better known in India not just as an economic bloc, but as a political force as well,' he stressed.
 

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