Sri Lanka-Pakistan FTA boosted trade: Rishad

Minister of Industry and Commerce Rishad Bathiudeen (second from left) joins Pakistani Commerce Minister Khurram Dastgir Khan (third from left) in the soft launch of TeXpo 2016 in Karachi on 7 April

The Lanka-Pakistan FTA boosted trade between both countries and Lankan investors are bullish on investing in Pakistan, according to Sri Lanka’s Commerce Minister Rishad Bathiudeen.

“The FTA signed by both the countries helped boost trade,” said Minister of Industry and Commerce Rishad Bathiudeen, addressing Governor of Pakistan’s Sindh Province Dr. Ishratul Ebad at the Governor’s House in Karachi during a courtesy call on the Governor that took place prior to the inauguration of TeXpo 2016 in Karachi on 7 April.

During the meeting, the two sides agreed to promote bilateral trade between the two friendly countries. Minister Bathiudeen said that improved law and order situation in Pakistan after the military operation is being appreciated across the world.

Minister Bathiudeen said Pakistan and Sri Lanka enjoy close and warm relations based on mutual interest and respect. “Sri Lankan investors are keen to invest in Pakistan’s energy, agriculture, infrastructure and other sectors. The two nations are presently having strong bondages and enjoy cooperation in trade, defence and culture, and added that the free trade agreement (FTA) signed by both the countries in 2001 has helped boost bilateral trade,” he said.

The Governor said visible improvement has been witnessed in law and order situation across the country, including Sindh province after operation Zarb-e-Azb, adding that improved security situation is encouraging foreign investment in the country.

Dr. Ebad said the Sindh province is suitable for investment and the government will provide all possible assistance to investors. “The textile industry plays a pivotal role in our economy by having major share in exports and providing the largest number of job opportunities,” the governor said. Pakistan is the eighth largest exporter of textile in Asia, he added.

Pakistan is the second largest trading partner of Sri Lanka in the SAARC region after India. The YoY bilateral trade has increased by 6% in 2012 to $ 433.69 million. A substantial growth in bilateral trade is seen in both exports and imports, especially after Free Trade Agreement between the two countries was implemented in 2005. The value of total trade between the two countries has increased by 174% from $ 158 million in 2005 to $ 354 million in 2014.

The statement from Pakistan High Commission in Colombo adds: “Pakistan’s first Textile Sector Exhibition TeXpo 2016 was inaugurated this morning by Federal Minister of Commerce Pakistan Eng Khurram Dastgir Khan, along with the Sri Lankan Minister for Commerce and Industry Rishad Bathiudeen, CE Trade Development Authority of Pakistan S.M. Muneer and Secretary TDAP Rabiya Javeri Agha.” 

The TeXpo 2016 arranged by the Trade Development Authority of Pakistan in collaboration with the Ministry of Commerce from 7-10 April at Karachi Expo Centre, houses over 350 stalls displaying all ranges of textile products from yarn to value-added textile products from premier brands of the country. Major Textiles Associations like TMA, PRGMEA, Carpet Association, PHMA, Sports Goods Association, APUBMA, PTEA, PTA, PLGMEA, have reserved major space in different halls to showcase the trendy and stylish Textile products of Pakistan. The main objective of this event is to build a strong business relationship of Pakistan’s Exporters with the importers of Textile worldwide. Apart from exhibitors, over 600 foreign delegates are confirmed from 51 countries to participate in the exhibition. 

Many top foreign brands like: B&C collection (Belgium), Shinatomo, ITO-Yokado, Yonex, Marubeni Intex, Marubeni Tex (Japan), Lotte Mart, Shinwon (South Korea), Simmons- The leading US bedding brand, Hertex, Standerton, Polo Africa(S. Africa), Super Muffato (Brazil), Apacinti (Indonesia), Septwolves (China), Teddy S.P.A (Italy), Fifth Factory (Spain), Basic Resources, Green Source (USA),  Gargo Way 10, DET 10-10 (Vietnam), Hameedia, Fashion Bug, Hydra, Hafyar, Cliftex, Afra Fashion (Sri Lanka), Firma Gamma (Russia) have confirmed to attend Texpo, 2016.

He said that Pakistan-Sri Lanka relations are decades old and investment will further strengthen them.

Commerce Minister Khurram Dastgir Khan said the exhibition, held at the Karachi Expo Centre, would help foreign delegates arrange business-to-business meetings and deals with local exporters.

He added that the foreign delegates during their visit to Texpo-2016 would also have the opportunity of looking at the soft image of the country as special cultural events and traditional goods would be at display.

The 15-member Sri Lankan business delegation, led by Minister Bathiudeen, had arrived in Karachi last evening to attend the textile sector-specific exhibition.

The textile sector in Pakistan is expected to grow strongly in the coming years due to addition of the LNG in Pakistan’s energy mix in recent months. Pakistan already enjoys GSP Plus status with the European Union which is also contributing to enhance growth in the textile sector.”