The Islamabad Chamber of Commerce and Industry (ICCI) has hailed the restoration of GSP Plus programme by the US for Pakistan, describing it a highly positive development for the economy of Pakistan.
In a press release, it said the US decision would help in improving Pakistan's exports and reduce trade deficit. The US has renewed its GSP programme for Pakistan through Dec 31, 2017 effective retrospectively between Aug 1, 2013 and July 28, 2015.
Muzzamil Hussain Sabri, President, ICCI, said that the total volume of US procurement was around $1.7 trillion and restoration of GSP Plus has created a good opportunity for Pakistani exporters to get better penetration in the huge US market. He said after the grant of GSP Plus by the European Union, Pakistani exports to EU have increased by 21 per cent and added that the concession of duty-free access to US market have created fresh prospects for further boosting our exports.
He said under the GSP, Pakistan could export more than 3,500 items to the US market without paying any duties on them. However, he said most of textiles and leather products have not been included in this facility despite the fact that these are our main exports. He urged upon the government to try to convince US authorities for inclusion of textiles and leather products in GSP Plus facility so that Pakistan could realize maximum benefit from this concession.
Sabri pointed out that bilateral trade between the two countries was just $5.3 billion, which was far less than the actual potential. He said both countries should step up efforts for improving volume of two-way trade that will further strengthen mutually beneficial partnership between the two countries.
He said government should fully cooperate with private sector in its efforts aimed at diversification of exports in order to get full benefit of GSP Plus program. He said government should also support exporters in capacity building so that they could compete more effectively in the international markets. He said government should ensure uninterrupted power and gas supply to industries to reap full benefits of GSP Plus concession.
