PTA with Indonesia to benefit Pakistan textiles (Pakistan)

2012-6-27

The Indonesia-Pakistan Preferential Trade Agreement (PTA), expected to be implemented from next month, would benefit Pakistani textiles, including cotton yarn, cotton fabrics and apparels.

 

Indonesia and Pakistan signed the PTA on February 4, 2012, whereby Pakistan agreed to offer market access to Indonesia on 287 tariff lines on preferential rate while Indonesia offered preferential access to 216 Pakistani items.

 

The Indonesian list of 216 items includes Pakistani products such as cotton yarn, cotton fabrics, and readymade garments, including sportswear and leather items.

 

To discuss the implementation of PTA with his Pakistani counterpart, Indonesian Commerce Minister is scheduled to arrive in Islamabad early next month.

 

Pakistan-Indonesia bilateral trade is currently worth around US$ 800 million, and with the implementation of the PTA, the bilateral trade is likely to rise to US$ 2 billion.

 

Pakistan’s value-added textile sector will especially get a boost, as the agreement will give preferential tariff access to Pakistani textiles, including yarns, carpets, fabrics and garments.

Source:Fibre2fashion