Industrialists expect ‘nothing good’ in trade policy

By Sajid Aziz

KARACHI: The Trade Policy for 2006-07 is not too far as it is scheduled to be announced by the Commerce Minister, Humayun Akhtar Khan, on July 15, but very few stakeholders have shown their interest in the Trade Policy this time.

Industrialists, especially the export oriented manufacturers who seem dejected over the fruitless Federal Budget for 2006-07, do not expect anything good from the forthcoming Trade Policy considering the previous policies, announced by the present and former commerce ministers. It is a common feeling among the stakeholders that the incentives and decisions announced in the trade policies have never been implemented in letter and spirit and they always left in a lurch.

There was a long list of promises and commitments made to the export oriented industry in the previous trade policies and were not implemented but provisions of one-window operation for the export sector is one of such commitments, which are yet to be fulfilled.

A former commerce minister, Ishaque Dar, during his tenure, had announced to provide the facility on one-window operation to the exporters and arrangements were being made at the Karachi Port in this regard as portion of a KPT building was reserved for the purpose but due to lack of follow-up, this important move towards implementation of a progressive trade policy could not be implemented.

This move was taken to facilitate the export sector and provide them the services of all government functionaries under one roof in order to save their time, avoid any hassles, protect them from bureaucratic hurdles and expedite exports from Pakistan.

It is a pity that almost eight years have elapsed but the government has miserably failed to provide a basic type of facility to the trade while Bangladesh while considering the importance of the one-window operation for its export sector has already extended this facility to its exporters.

The exports of Bangladesh have gone up to manifold since the implementation of realistic and progressive trade policies.

But, we could not establish any other export-oriented sector, except textiles, for the last few decades due to the sloppy trade policies, which have always focused petty issues due to which a meager target of $17.4 billion seems difficult to achieve through exports during current fiscal year as against a potential of over $50 billion.

This time again, the minister for commerce has said that the new trade policy will focus on enhancement of exports by exploring new markets for Pakistan products.

The minister had already held a meeting with the stakeholders in order to give final shape to the new trade policy.

The representatives of business community stressed upon exploring ways and means to bring down the cost of doing business suggesting the reduction in utility charges, provision of cheap energy, lowering of taxes and duties and providing level-playing field to make their businesses competitive in the international market.

Farmers’ association was of the view in the said meeting that massive awareness campaign on quality and standards, intellectual property rights, sanitary and its phyto-sanitary issues should be launched.

The industrialists expressed their concern over frequent and piecemeal increases in energy prices.

Though most of the proposals and demands made by the stakeholders in trade policy are always incorporated in the previous trade policies but it is obvious that many of them are pertained to the finance ministry and unless and until both the ministries have good understanding, nothing can be done positively.

http://www.thenews.com.pk/daily_detail.asp?id=13122