SHAH NAWAZ MOHAL
The promises and prospects that agreement on South Asian Free Trade Area (SAFTA) offered during 12th SAARC Summit back in 2004 has begun to fade, at least for Pakistan.
Pakistan’s exports to SAARC countries amounted to $2.69 billion during 2015-16 remained less than the preceding year when Pakistan exported goods worth $3.29 billion to SAARC countries. For the third consecutive year, Pakistan’s trade with SAARC countries remained downwards.
The same downhill pattern repeats itself in trade between Pakistan and India, while the exports to India have plummeted steadily, the imports from the neighbour barely suffered during past three years. Pakistan has exported goods worth $303 million to India, while the imports during the same year amounted to $1.7 billion, according to documents available with Pakistan Today. It is pertinent to mention here that Pakistan exported goods worth $408 billion and $3.58 billion in year 2013-14 and 2014-15 respectively. However, import goods from India after witnessing a drop from $2.04 billion to $1.69 billion have steadied during 2015-16.
Trade and commerce emerge as the clear victims in SAARC region, which is held hostage to the fragile bilateral relationship between Pakistan and India. Despite the measures like Tariff Liberalization Programme under SAFTA being fully implemented by all member countries and giving of go ahead to reduce the sensitive lists further by 20pc, South Asian Association for Regional Cooperation (SAARC) has failed to turn itself in an entity that facilitates and enhances trade and economic cooperation among its members. Recently, in the wake of Kashmir unrest, Uri attack and tensions along the Line of Control, South Asia Business Leaders Conclave, an event that brings together the businessmen from all SAARC countries, was delayed along with the SAARC Summit.
The main goods Pakistan imports from SAARC countries are cotton, polymer, tomatoes, coal, dried vegetables, vessels and ships for breaking up. Major exports include wheat, sugar, rice, potatoes, citrus fruit, dates, and woven fabrics of cotton.
