KARACHI: Trade Development Authority of Pakistan (TDAP) has started consultations with the stakeholders as UK Government has sought inputs from Pakistan for designing of the new UK trade preferences regime post Brexit.
“To obtain stakeholders’ inputs, TDAP organized a consultative session with concerned trade bodies and exporters to seek proposals for making the new UK GSP scheme more user friendly and improving trade between UK and Pakistan,” a statement said.
The UK preferential scheme will maintain the current level of preferential access available to Pakistan under the EU’s GSP/ GSP Plus scheme.
In wake of Brexit, Department of International Trade, UK (DIT) and Department for International Development, UK (DFID) are developing their own scheme for the Generalized System of Preferences (GSP) that will become effective from January, 2021 after completion of the transition period.
Besides that, the UK is also undertaking a review of its current MFN tariff regime for its further rationalization.
An official said UK was modifying its tariff policy as well as designing its own preferential scheme, the main objective of which is to avoid damaging beneficiary countries that relied on this enhanced market access to trade.
During the consultative session specific areas relating to the GSP regime and MFN tariffs as well as avenues for improving overall trade and cooperation between the UK and Pakistan were covered.
This included broad parameters for the new GSP scheme and MFN tariff rationalization, origin certification system and rules of origin, standards and compliances, and possible avenues for trade and technical assistance with the UK were discussed.
Special emphasis was laid on the importance of Rules of Origin and the lack of understanding that is present on the industry’s part, it was recommended that separate sessions for Rules of Origin (ROO) may be conducted by TDAP.
Some of the major exporters like US Apparel, Azgard 9, Servis, Master Textile etc. attended the session.