The European Union (EU) has approved Pakistan for another generalised scheme of preferences plus (GSP+) status till 2022, which implies the latter can export goods to Europe without application of regular duties. Adviser to prime minister for commerce, industry and investment Abdul Razak Dawood announced the development in a tweet last week.The decision had been under consideration since the third biennial assessment of GSP+ was published on February 10. Pakistan first received the GSP+ status in 2014.
“This would strengthen our resolve to continue to improve the social and economic conditions of our people. I urge the business community to diversify their exports to capitalise on this opportunity to the optimum,” Dawood wrote.The assessment underscores 27 conventions for international trade, including steps about climate change and improved vigilance against crime and narcotics. Compliance with these steps ensures that countries enjoy the GSP+ benefits. According to the EU report, Pakistan did well on the 27 international conventions.
Since 2014, Pakistan’s exports to the EU have soared by 65 per cent, from €4.538 billion in 2013 to €7.492 billion in 2019. The sectors to avail the most benefit out of the tariff concessions were textile and garments.For Pakistan, the EU’s GSP+ status means full removal of tariffs on over 66 per cent of product categories for exports to the EU.
Fibre2Fashion News Desk (DS)
