Second phase of China-Pakistan Free Trade Agreement comes into effect
ISLAMABAD: The second phase of China-Pakistan Free Trade Agreement (FTA) has come into effect, allowing Pakistani manufacturers and traders to export more than 300 new products on zero duty to the Chinese market.
The two countries have completed all the legal procedures and formalities to start implementation of the agreement.
Pakistan and China signed a protocol for implementation of the agreement during the last visit of Prime Minister Imran Khan to China.
Pakistan is already enjoying zero duty on export of 724 products to China under the first Free Trade Agreement signed between the two countries in 2006.
On Nov 8, Adviser on Commerce Razak Dawood had said the second phase of the FTA with China was signed with Beijing in April this year and it usually took a year’s time to make such an agreement operational. However, he had said, because of special relationship with Pakistan, the Chinese side had agreed to make the FTA operational before time.
The adviser had said that negotiations were continuing with the Chinese side to export Pakistani agricultural products to their market.
He had said the security situation stood improved in the country and we were ready to give tax benefits to the investors to invest in Pakistan.
On Sept 18, Prime Minister Imran Khan had expressed the hope to attract the private sector from China to relocate industry in Pakistan.
“The Board of Investment, the Ministry of Investment and we all are trying to create ease of doing business in Pakistan. We are also trying to bring cost of doing business down in the country in a bid to attract large investments,” Imran Khan had said while addressing a ceremony in Islamabad after performing groundbreaking of Prefabricating Housing Project in Islamabad. A large number of Chinese businessmen were present on this occasion.