Islamabad: The trade volume between Pakistan and India could increase up to the level of USD 10 billion after the trade normalization between the two countries, a new report has suggested.
According to the official figures of Pakistan’s Commerce Ministry, the Pakistan Government is all set to give the Most Favoured Nation (MFN) status to India from 2013, which would further increase Indian exports to Pakistan.
The official documents of the ministry revealed that Pakistan would get immense benefit with trade liberalisation with India, as Islamabad could save up to USD 900 million if it allows import from New Delhi on several items replacing its present imports from other countries at a higher cost, The Nation reports.
According to the figures, Pakistan’s exports to India had recorded at USD 1.735 billion in the last six year-period (from 2006-07 to 2011-12) against the imports of 8.363 billion dollars, thus leaving the nation facing a 6-billion-dollar trade deficit.
The figures also suggested that Pakistan’s exports had never exceeded USD 350 million in a year while imports from India crossed the USD billion benchmark every year in the last six year period.
Currently, India could export everything to Pakistan except a 1,209-item negative list after the recent trade normalisation process between the two countries, the paper said.
The 1209 items included agricultural products, textile, auto, furniture, surgical, sports, pharma, wood, aluminium, ceramics, chemicals, cutlery, electric appliances, electrical machinery, footwear, glass, jems and jewellery, leather, metal products, meters, optical fibres, paper and board, rubber, soap and toiletries, stone and marble and steel, it added.
First Published: Sunday, September 16, 2012, 00:25