Preferential Trade Agreement to be signed between Pakistan, Turkey

[ameer219]

Preferential Trade Agreement to be signed between Pakistan, Turkey

LAHORE: The Preferential Trade Agreement (PTA) between Pakistan and Turkey is all set to be signed early next year, said Turkey’s Ambassador to Pakistan Babur Hizlan on Tuesday.
Babur said, however, that the list of goods to be traded is yet to be finalised.

The Turkish Ambassador, while speaking at the Lahore Chamber of Commerce and Industry (LCCI), said that the agreement would help achieve $2 billion target of two-way trade set by the Turkish Prime Minister.

Babur said that to further increase the existing trade volume, feasibility study for a train service from Lahore to Ankara has been completed while a number of other similar agreements have also been finalised.

“Turkish businessmen are ready to initiate joint ventures with their Pakistani counterparts as they are convinced that ample opportunities lie in a number of sectors including construction and energy,” Babur said.

Babur said that Turkey is a fast growing economy of the world and it has a lot to offer to Pakistan’s economy.

The Turkish Ambassador called for exchange of business delegations, so that both the sides can have firsthand knowledge of the available opportunities in Pakistan and Turkey alike. He also said that both the countries have so much untapped business potential that needs to be realised by maximising the involvement of private sector.
He said that improved economic relations between the two countries would create a win-win situation for both Pakistan and Turkey.

Speaking on the occasion, the LCCI President Irfan Qaiser Sheikh said that both the sides should strive to develop closer trade and investment ties, involving all the concerned individuals.
Sheikh said that although the bilateral trade between Pakistan and Turkey had been gradually growing, it still left much to be desired. He also pointed out that Pakistan’s exports to Turkey have shown considerable improvement.

However, he said that the current level of trade between Pakistan and Turkey is little in comparison to the market size of the two countries.
“In terms of Gross Domestic Product (GDP), Turkey is ranked at 17th place, which is way ahead of Pakistan which is at 47th place,” Sheikh added.

The LCCI, Sheikh said, is ready to play its due role in exploring the available opportunities.
“Turkey imports semi-finished goods in bulk from various countries for value addition and Pakistan can become its important supplier,” the LCCI president said.
“Pakistani businessmen are capable of exporting semi-finished goods to Turkey like textile products, dairy products, fresh fruits, vegetables, precious and semi precious gems and much more,” he added.
Pakistan’s major exports to Turkey are cotton, plastics, cereals, beverages, spirits, articles of apparel, manmade staple fibers, leather goods, raw hides etc. Whereas Pakistan’s major imports from Turkey are machinery, ships, organic chemicals, paper and paperboard, iron and steel, plastics products, tanning and dyeing extracts etc.
Keeping in view the great market potential of the two countries, a lot of trade and investment can take place and the best possible way to do so is by identifying the areas of possible cooperation, Sheikh said.

Preferential Trade Agreement to be signed between Pakistan, Turkey – The Express Tribune

 

[Marxist]

Pakistan not interested in PTA with Turkey

Pakistan is reportedly not interested in Preferential Trade Agreement (PTA) with Turkey as the latter's offered list is not beneficial to the former, well informed sources told Business Recorder.

An official delegation led by Commerce Secretary Zafar Mahmood is leaving for Turkey on Tuesday (today) to attend Joint Ministerial Commission (JMC) meeting in which different economic issues and future economic ties will come under discussion, the sources added.


Turkish ambassador to Pakistan Hizlan Babur recently announced at Lahore Chamber of Commerce and Industry that PTA will be inked early this year as the list of goods to be traded between the two countries is being finalised.

"What I can say is that Pakistan is not interested in the list of tradable items offered by Ankara.

What is our need, Turkey is not ready to offer us because of agreement with European Union (EU)," the sources added.


According to sources, Pakistan team will discuss different economic issues with Turkish officials including the problems being faced by Pakistani textile and electric goods.

According to Turkish government if the two countries sign PTA of its choice, it would help achieve $2 billion two-way trade.


Pakistan's bilateral trade with Turkey has grown substantially (79 percent ie from $296.725 million in 2003-04 to $531.506 million in 2008-09), with balance of trade in favour of Pakistan.

Pakistan's exports to Turkey include cotton fabrics, cotton yarn, chemical materials and products, articles of apparel/cloth (knitted), leather/synthetic fabrics, etc.


In 2010, during 13th session of JMC, both countries agreed in principle to initiate the process for finalising Free Trade Agreement (FTA) as the two countries are eyeing $2 billion bilateral trade by the end of 2012.

Both the countries had also signed Memorandum of Understanding (MoU), according to which it was vowed that the two countries would vigorously pursue the negotiations to finalise FTA as early as possible.

However, they did not give any timeframe in this regard.


According to the MoU, both the countries are convinced that despite global recession, $2 billion bilateral trade target would be achieved by the end of 2012.

The JMC had also decided to expedite the initiatives of the Pakistani-Turkish Business Council.

Pakistan and Turkey acknowledge the importance of enhancement of trade through the regional economic organisations such as the Economic Co-operation Organisation (ECO) and the Organisation of Islamic Conference (OIC).

And are supporting reciprocal exchange of 'investment assessment delegations' with a view to determining the potential sectors and further acquaint themselves with each other's investment circles.

Pakistan not interested in PTA with Turkey | Business Recorder