Pakistan, GCC expected to hold technical talks for free trade agreement by July-end — official

Flags of the Gulf Cooperation Council (GCC) countries fly in the streets before the 40th GCC summit in Riyadh, Saudi Arabia, on 9 December 2019. (REUTRES/File)
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Updated 06 July 2022
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Pakistan, GCC expected to hold technical talks for free trade agreement by July-end — official

  • Last year, Pakistani and GCC officials resumed talks on a delayed FTA after a gap of almost 12 years
  • The South Asian country currently has free trade agreements with China, Malaysia, and Sri Lanka

KARACHI: Pakistan and the Gulf Cooperation Council (GCC) are expected to hold the second round of technical-level talks for a Free Trade Agreement (FTA) in the last week of July, a senior Pakistani diplomat said, with local traders saying a deal would help boost exports to the six-country bloc comprising the United Arab Emirates (UAE), Saudi Arabia, Bahrain, Oman, Qatar and Kuwait. 

Last year, Pakistani and GCC officials resumed talks on a delayed FTA after a gap of almost 12 years. The South Asian country currently has free trade agreements with China, Malaysia, and Sri Lanka.

“First technical round is completed, tariff lines lists have been shared between Pakistan and GCC, and the private sector and FBR [Federal Board of Revenue] are analyzing these tariff lists,” Azhar Ali Dahar, Minister Trade and Investment at the Embassy of Pakistan in Riyadh, told Arab News on Tuesday.

“GCC has asked for a second technical meeting and the commerce ministry is waiting for a response from private sector. It is expected that in the last week of July this second meeting may take place.”

Pakistani industrialists and traders said the FTA was very important for the country to increase multilateral trade volumes, and the apex body of the private sector, the Federation of Pakistan Chambers of Commerce and Industry (FPCCI), was “fully involved” in pushing forward the process.

“Our Research and Development is working on it and we want to take it forward in a better way that is good for Pakistan,” FPCCI president Irfan Iqbal Sheikh told Arab News on Saturday. 

“FTA is very important if you need to enhance your trade, but we have to keep in view all aspects, including economic value and our economic conditions, before signing the agreement so that we [Pakistan] could benefit.” 

The FPCCI president said the FTA was important to tap markets other than the traditional EU, United States and United Kingdom, where Pakistan exports around 80 percent of its goods. 

“We have not yet tapped the other markets.. and we want to tap the other markets.. we want to work with GCC,” Sheikh added. “New markets and products that would increase Pakistan’s exports … that is what we need.”

The FTA with the GCC has remained in the cold storage since the signing of the Framework Agreement (FA) on August 26, 2004 in Islamabad. Only two rounds were held between 2006 and 2008. 

The first round of negations took place in Riyadh in March 2006 where both sides agreed to jointly declare the establishment of a Trade Negotiating Team (TNT). The parties also agreed to concessions in services under the World Trade Organization’s framework. 

The second round of negotiations was also held in Riyadh from September 7-8, 2008, where both sides agreed to a broader outline in the areas of Market Access in Goods & Services, Rules of Origin and some General Provisions, according to the Dahar in Riyadh.

“The FTA with GCC should have been signed much earlier because these are major economies, especially the UAE is our major trading partner, as our high-end imports are mostly coming from UAE,” Dr. Vaqar Ahmed, a joint executive director at the Sustainable Development Policy Institute (SDPI), told Arab News.

“We have been engaged with GCC countries since 2008 and still after a lapse of around 15 years this [FTA] has not materialized … we discuss with them security and other issues but FTA remains off the agenda.

“Now it must be on top of the agenda and the joint working group needs to set the deadline to finalize the FTA as we did in case of FTA with China,” he added. “Our exports, mainly services, are being processed from UAE where companies, especially the IT companies, have set up backend offices. We have a big advantage with the FTA so this needs to be taken very seriously.”

Pakistani investors in GCC countries have also called on their home government to aggressively pursue GCC authorities for the FTA.

“Pakistan has very special relations with GCC countries and they have been supportive. The FTA will largely benefit Pakistani traders through ease of tariff and non-tariffs measures,” Muhammad Iqbal Dawood, a director at the Pakistan Business Council Dubai, told Arab News via phone from Dubai. 

“Currently, India is going on the top of the countries signing FTAs ... We need to aggressively move on and sign these kinds of agreements.” 

Pakistani experts said the country had a limited list of products to offer the GCC bloc but the government should demand zero or reduced import duties on certain goods from Pakistan.

“We should demand zero or reduced customs duty from GCC for textile and garments, on processed food, rice, leather, sports and surgical goods,” SDPI’s Ahmed said. “In the services sector, we want incorporation fee waiver for example for our IT companies that set up back-end offices in Dubai, Doha, and Bahrain.”

“In return we should be very open about what we can offer them, we would not be in a position to restrict flow of goods coming from there as recently we have done to restrict imports,” he added, referring to recent ban on the import of luxury items to save foreign reserves. “We should be prepared that this would be reciprocal.” 


Pakistan PM, president condemn gun attack on speaker Azad Kashmir’s convoy

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Pakistan PM, president condemn gun attack on speaker Azad Kashmir’s convoy

  • Chaudhry Latif Akbar’s convoy was fired upon when it arrived on Sunday in village near Muzaffarabad
  • Shehbaz Sharif prays for early recovery of three persons injured, orders stern action against culprits

ISLAMABAD: Prime Minister Shehbaz Sharif and President Asif Ali Zardari on Sunday condemned a gun attack targeting the speaker of the Kashmir region administered by Pakistan that left three people injured, tasking authorities to take stern action against the culprits, state-run media reported. 

Speaker Chaudhry Latif Akbar, a leader of the Sharif-led ruling coalition ally Pakistan Peoples Party (PPP), was visiting his constituency in Kakliyot village around 15km south of Muzaffarabad when the shooting took place on Sunday as per news reports. 

Three PPP supporters who were part of the convoy were injured in the attack. Akbar had reportedly received threats from Raja Amir Zafar, a local district council member, who vowed that no one would be allowed to enter the village for Akbar’s visit. 

“President Asif Ali Zardari and Prime Minister Shehbaz Sharif have strongly condemned the incident of firing on the convoy of Speaker of Azad Jammu and Kashmir Legislative Assembly,” state broadcaster Radio Pakistan reported on Sunday. 

Zardari described the attack on the speaker as a “cowardly and despicable act,” praying for the early recovery of the injured. 

In his statement, the Pakistani prime minister prayed for the early recovery of the injured persons. 

“The Prime Minister directed the authorities concerned to take immediate action and ensure the arrest of those responsible for the attack,” Radio Pakistan reported. 

Azad Kashmir is a self-governing administrative unit under Pakistan’s control but is not recognized as a sovereign country. The Muslim-majority Kashmir region has long been a source of tensions between nuclear-armed neighbors India and Pakistan, leading them to fight two out of three wars since winning independence from the British Empire in 1947 over the disputed territory. 

The scenic mountain region is divided between India, which rules the populous Kashmir Valley and the Hindu-dominated region around Jammu city, Pakistan, which controls a wedge of territory in the west called AJK, and China, which holds a thinly populated high-altitude area in the north. Besides Pakistan, India also has an ongoing conflict with China over their disputed frontier.
 


Pakistan to participate in upcoming International Taekwondo training camp in Sharjah

Updated 45 min 6 sec ago
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Pakistan to participate in upcoming International Taekwondo training camp in Sharjah

  • Saudi Arabia, UAE, Uzbekistan, Russia and other countries to take part in camp underway in Sharjah till Feb. 5
  • Camp to provide athletes opportunity to engage in high-level training sessions, foster international collaboration

ISLAMABAD: Pakistan is participating in the upcoming 11th Sharjah International Taekwondo Training camp alongside teams from Saudi Arabia, United Arab Emirates (UAE), Ukraine, Russia, Kazakhstan and other countries, state-run media recently reported. 

Taekwondo is a traditional Korean martial art practiced across 206 countries, according to the official Olympics website. In taekwondo, hands and feet can be used to overcome an opponent but the trademark of the sport is its combination of kick movements.

Pakistan’s team arrived in Sharjah this week to participate in the international training camp, which will be underway till Feb. 5, state-run Associated Press of Pakistan (APP) reported. More countries expected to join in the coming days. 

“The 11th Sharjah International Taekwondo Training Camp will provide a valuable opportunity for athletes to enhance their skills, engage in high-level training sessions and foster international collaboration in the sport,” APP said on Sunday. 

Pakistan has made some gains in the martial art sport over the past few months. In October 2024, Pakistan’s taekwondo team made history by winning the 6th Asian Open (Khyurogi) Taekwondo Championship held in Indonesia from Oct. 14-17 last year. 

Pakistani twin sisters Manisha Ali and Maliha Ali, hailing from the country’s northern Hunza valley, were part of the team that secured three gold, three silver, and two bronze medals in the championship. 

The tournament featured over 275 athletes from across Asia, including participants from India, Uzbekistan, Tajikistan, the Philippines, Malaysia, Nepal and Indonesia.

The same month Pakistan’s youngest taekwondo champion Ayesha Ayaz took part in the Qatar International Open Taekwondo Championship. Ayaz was among 1,440 players from 40 countries who competed in the event across four categories: cadet, juniors, youth and adults.
 


Pakistani firms showcase national heritage, tourism services at New York travel show

Updated 27 January 2025
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Pakistani firms showcase national heritage, tourism services at New York travel show

  • Financial Times, CNN recently featured the South Asian country among top destinations worldwide to visit in 2025
  • In a bid to boost tourism, cash-strapped Pakistan last year began offering free visas to citizens of over 120 nations

ISLAMABAD: More than a dozen Pakistani firms and provincial tourism departments showcased the country’s heritage and tourism potential at the Travel & Adventure Show 2025 in New York, Pakistani state media reported on Sunday.
For over 20 years, the Travel & Adventure Show has connected more than 2.7 million travel enthusiasts and over 16,500 unique travel advisers with over 5,800 different exhibiting companies from around the world, influencing over $7 billion in travel bookings, according to the show’s website.
This year, the Trade Development Authority of Pakistan (TDAP), in collaboration with the Pakistan Tourism Development Corporation (PTDC) and the Pakistani consulate in New York, set up the Pakistan Pavilion at the show held on Jan. 25-26.
“Pakistan Pavilion showcased Pakistan’s breathtaking destinations, rich cultural heritage, and a wide range of tourism services,” the Radio Pakistan broadcaster reported.
Pakistan Pavilion received the award for ‘Best Partner Pavilion’ at the Travel & Adventure Show 2025, according to the report. A large number of attendees visited the pavilion and expressed their keen interest in mountaineering, and adventure and religious tourism.
Pakistan is home to the ancient Indus Valley and Gandhara civilizations, sacred places of Sikhs and Hindus and followers of other faiths as well as five of the 14 world peaks above the height of 8,000 meters in its north.
International business publication Financial Times recently featured Pakistan in its list of 50 places worldwide to visit on holidays, citing its “dramatic mountain scenery” and an improved security situation as reasons worth visiting the area.
Pakistan’s northern Gilgit-Baltistan (GB) region also made it to CNN’s list of 25 destinations that are particularly worth visiting in 2025. Thousands of tourists and foreign climbers visit the sparsely populated northern region each year for expeditions on various peaks, paragliding and other sports activities.
In a bid to boost its tourism sector, cash-strapped Pakistan also began offering free visas online to citizens of more than 120 nations in August 2024.


Pakistan fears lower production as ‘severe’ drought dents winter harvest

Updated 26 January 2025
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Pakistan fears lower production as ‘severe’ drought dents winter harvest

  • Pakistan ranks among countries most vulnerable to climate change, which scientists say is making extreme weather events more common and more severe
  • Analysts say a fast-growing population, climate change and poor resource management with an over-reliance on Indus River are all spurring water scarcity

ISLAMABAD: Pakistan fears lower production as a “severe” winter drought has ravaged several crops in the country’s breadbasket, an official said on Sunday, stressing the need to build more water reservoirs and restore wetlands.
The South Asian country — home to more than 240 million people — ranks among the nations that are most vulnerable to the effects of climate change, which scientists say is making extreme weather events more common and more severe.
According to the Pakistan Meteorological Department (PMD), rainfall from Sept. 1 to Jan. 15 was 40 percent below normal across Pakistan, with Sindh, Balochistan, and Punjab being the most affected provinces with deficits of 52 percent, 45 percent, and 42 percent respectively.
Muhammad Saleem Shaikh, a spokesperson for Pakistani climate change ministry, said the ongoing severe drought is in fact part of a larger trend of increasing climate variability that threatens to disrupt agriculture and exacerbate water shortages, the state-run Radio Pakistan broadcaster reported.
“Reduced water availability due to low rainfall was adversely impacting the growth of crops like wheat, a staple food, as well as vital cash crops like potato, leading to fears of lower production and rising food prices and their shortages in future,” he was quoted as saying.
“The ongoing winter drought conditions in the country underscore the urgent need for a unified response to address the country’s water crisis.”
The agriculture sector contributes nearly a quarter of Pakistan’s gross domestic product (GDP) and employs 37 percent of the national labor force, according to the United Nations’ Food and Agriculture Organization.
Pakistan generally relies on water from the Indus river which bisects the country from north to south, where it empties into the Arabian Sea.
But analysts say a fast-growing population, climate change and poor resource management with an over-reliance on a single water source are all spurring scarcity.
Shaikh said building water reservoirs, restoring wetlands and promoting drought-tolerant crop varieties is vital to mitigating recurring and intensifying drought risks in the country.
“Rainwater harvesting, groundwater recharge and the adoption of modern irrigation methods like drip and sprinkler systems are no longer optional,” he said. “They are critical tools in our survival weaponry.”


Pakistani women voted differently from men in 18 percent communities in 2024 general election — report

Updated 26 January 2025
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Pakistani women voted differently from men in 18 percent communities in 2024 general election — report

  • Pakistan held a general election on Feb. 8 last year that was marred by a mobile Internet shutdown and unusually delayed results
  • The polls threw up a hung parliament and were followed by weeks of protests over vote count fraud, an allegation denied by authorities

ISLAMABAD: Women voters in 18 percent communities in the jurisdiction of male and female polling stations voted differently from their men counterparts during General Elections in Pakistan in Feb. 2024, a Pakistani election monitor said on Sunday.
Pakistan held its general election on Feb. 8, 2024 that was marred by a mobile Internet shutdown and unusually delayed results. The polls threw up a hung National Assembly and were followed by weeks of protests by opposition parties over allegations of rigging and vote count fraud.
Pakistani election authorities denied the allegations, and Shehbaz Sharif, who was favored by a coalition of political parties, secured a comfortable win over Omar Ayub of the Sunni Ittehad Council (SIC), which was backed by jailed former prime minister Imran Khan.
The Free and Fair Election Network (FAFEN), which aims to promote electoral transparency in Pakistan, compared results of male and female polling stations in the same communities and found that in 82 percent of the communities, male and female voters’ choice of winner was aligned.
“In 18 percent of the communities, male and female voters diverged in their choice of winner as they returned different winners from their respective polling stations,” FAFEN said in its report issued on Sunday.
“Compared to rural areas, communities in urban areas showed more divergent choices among male and female voters.”
The federal capital of Islamabad had the highest proportion (37 percent) of electoral communities with different winners in male and female polling stations. Balochistan had the second-highest proportion (32 percent), followed by Sindh (19 percent) and Punjab (18 percent), while Khyber Pakhtunkhwa (KP) had the lowest proportion (13 percent) of such electoral communities, according to the report.
Of the 3,884 communities where women’s choice of winner for National Assembly (NA) seats was different, the Pakistan Tehreek-e-Insaf (PTI) won more support from women in 1,260 communities, followed by the Pakistan Muslim League Nawaz (PMLN) in 1,027 and the Pakistan Peoples Party Parliamentarians (PPPP) in 694 communities. Regional trends showed that while the PTI performed well across the country in terms of women voters’ choice, the PML-N remained strong in Punjab, and the PPPP dominated in Sindh.
The assessment included 21,188 communities, comprising 42,804 comparable male and female polling stations. In 37 NA constituencies, the largest proportion of voters in female polling stations did not vote for the winning candidates, according to the report.
In 226 NA constituencies, the largest proportion of voters in female polling stations voted for the constituency winner. In 166 of those NA constituencies, compared to voters in male polling stations, a larger proportion of voters in female polling stations polled for the winner.
Pakistan’s National Assembly has a total 336 seats, of which members are directly elected on 266, 60 are reserved for women and a further 10 for religious minorities.
“In seven constituencies – NA-43 Tank-cum-Dera Ismail Khan, NA-49 Attock-I, NA-55 Rawalpindi-IV, NA-87 Khushab-I, NA-94 Chiniot-II, NA-128 Lahore-XII and NA-163 Bahawalnagar-IV – the lead at female polling stations determined the winner,” FAFEN said.