Indonesia must review import quota policy for Pakistan

ISLAMABAD: Federal Commerce Minister Khurram Dastgir has urged his Indonesian counterpart to reconsider the import quota policy for Pakistan for items included in the Preferential Trade Agreement (PTA) and expressed hope that a quota-free market access would help Pakistani exports to grow.

The minister made these remarks in a meeting with Enggartiasto Lukita, Minister for Trade of Indonesia, on the sidelines of the 12th
World Islamic Economic Forum being held in Jakarta, Indonesia.

He said that the barriers to trade which hinder the free flow of products were being phased out in the modern trading system.

The commerce minister appreciated the fact that the Preferential Trade Agreement between both countries was helping the bilateral trade to grow.

The import of Indonesian palm oil has exponentially increased the volume of imports from Indonesia, and in future, Pakistan might start importing coal from the country in large quantities for electricity generation, he added.

Dastgir urged the Indonesian minister for trade to ensure the implementation of the MoU signed between the two countries for purchase of rice from Pakistan.

First review meeting of the PTA was scheduled to be held on August 15 and 16, 2016 in Jakarta, where both sides would share their evaluation of the performance of PTA since its inception.

The review meeting would also propose the future course of action to further strengthen trade ties and enhance bilateral trade.  

The Indonesian minister expressed the desire to find possibilities of converting this PTA into a Free Trade Agreement.

He asserted that signing of full scale trade agreement between the two countries would open new avenues for trade in goods, and might lead to a point where both countries agree to expand bilateral preferential treatment to services as well.