Oct 01 - 07, 2001
Washington likely to remove trade quota
The United States agreed on Tuesday to consider
modalities for providing market access to Pakistani products through
removal of duty and quota restrictions and for avoiding war risk
insurance (WRI) on shipping to Pakistan, commerce ministry sources
These sources however confirmed that US Ambassador
Wendy Chamberlin, who held a meeting with commerce minister Razak
Dawood, did not make any commitment on these issues though she held
out an assurance that she would talk to her government through proper
channels. She also agreed to ensure that these issues would be on the
agenda when the two sides held future talks.
"I will talk through the proper channel and
try to resolve these matters as soon as possible," Ms Chamberlin
was quoted as saying on three official demands relating to market
access, quota restrictions and duty withdrawals on Pakistani exports.
The Pakistani side raised the issue of increase in
shipping charges to Karachi and demanded that this issue should be
addressed by the US administration. Though it was agreed that there
was no war-like situation as yet the US administration should ensure
that War Risk Insurance was not applied for shipping to Pakistan
otherwise cargoes and consignments to Pakistan would be subjected to
higher rates and damage trade.
Following Sept 11 events, insurance and freight
charges have drastically increased and port and shipping facilities in
Karachi were giving a deserted look, commerce ministry said. This
meant that import and export trade would be strongly hit in the
The commerce minister also asked the ambassador
that leather, surgical, carpets and footwear items should not be
treated on a par with textile items as Pakistani exporters faced
problems on export of these non-textile items.
Meat export up by 15pc
The export of meat has increased after lifting of
import ban on the item by the gulf states.
According to official source, Saudi Arabia and
Bahrain had already lifted ban on import of Pakistani meat and now
Kuwait has withdrew its decision of banning meat import from Pakistan.
The export of local meat and its products so far
reached Rs46,082.5 million this fiscal, thus showing 15 per cent
overall increase as compared to Rs39,451.10 million in 1999-00.
The export of livestock products was considerably
affected due to growing fear of animal disease called rinderpest. The
disease was reported for the first time in Europe and it inflicted
heavy losses on livestock industry of the European states.
The government directed the quarantine department,
which regulates the import and export besides quarantine of animals
and animal products, to check spreading of the disease.
A vessel to load first batch of 25,000 tons of
wheat against a total export tender of 217,000 tons floated by the TCP
in third week of last month had reached Karachi port on Monday, TCP
Seven private parties participated in the tender by
quoting $105.5 to $106.5 per ton, and had met the condition of opening
LCs within 20 days from the date of acceptance of their offers, the
After completing the shipment of these
consignments, Pakistan would be consolidating its position on the
world wheat market as it had already successfully made a debut by
exporting around 100,000 tons of wheat to Iraq.
The first batch of 25,000 tons purchased by Peter
Cremer is destined for Singapore, and its loading will be completed by
Sept 30, 2001. Another vessel to load second batch of 15,000 tons fob
Kenya had been purchased by Garibsons, is expected to reach Karachi
port on Wednesday, Sept 26, 2001.
SBP move to boost services exports
The State Bank has allowed exporters of the
services sector to retain up to 35 per cent of export earning in a
foreign currency account. The move, that has come at a time when
Pakistan is braving political heat generated after the September 11
terror attacks on the US soil, would help the country contain its
The government is considering to raise import duty
on coal from 10 to 30 per cent to encourage the local production, a
reliable source in the commerce ministry told on Wednesday.
The ministry of Petroleum and Natural Resources had
proposed to the government to impose ban on the import of coal, as
untapped coal reserves were available in a large quantity in
Balochistan and Punjab, which could be dug and marketed at a much
lesser cost, the source said.
Exporters of textile made-ups on Wednesday sought
immediate release of refunds to meet liquidity crunch created by delay
in payments and cancellation of orders by foreign buyers.
Presently around Rs52 billion are held up on
account of non-payment of sales tax refund and duty drawback with the
government. This was stated at a joint press conference by the
chairman Pakistan Hosiery Manufacturers Association (PHMA) Aslam Ahmed
Karsaz and vice chairman Pakistan Knitwear and Sweater Exporters
Association (Paksea) Anis Marfani.
Import duty receipts fall
Revenue receipts from import duty during the first
two months (July-August) of the current financial year amounted to
Rs6.5 billion against Rs7.67 billion over the corresponding months of
the last year, showing a fall of 15.25 per cent.
Leather garment exports crippled
The cancellation of cargo flights by European
airlines originating from Karachi has crippled the exports of leather
garments, which is presently at its peak season ahead of winter in the
With the revival of leather garments fashion in the West, the
country last year managed to fetch over $600 million from export of
leather and leather goods against a lean period witnessed a year ago.