ISLAMABAD: Pakistani exporters enjoy more duty-free access in America than the European countries and China.
The annual trade balance has been around $2 billion during the last three years between the US and Pakistan. In 2014, Pakistan exported goods worth $3.6 billion and imported $1.5 billion of goods from the US. Pakistan’s exports predominantly comprise textile made-ups with shipments of home textile standing at more than $1 billion and accounting for about 10% market share in the total US global imports of $13 billion.
Despite the trade surplus, Pakistan’s total share in the US market of $2.3 trillion is just 0.2%. The US is also Pakistan’s biggest donor and contributed over $4 billion since 2009 to projects relating to energy, economic growth, education, healthcare and women empowerment. Moreover, Pakistan also receives $500 million annually for the Coalition Support Fund (CSF) in support of counter-terrorism efforts along the Afghan border.
Pakistan is also a beneficiary of the US Generalised System of Preferences (GSP) programme that provides duty-free access for approximately 3,500 products from 120 designated countries including Pakistan. It has been exporting an average of $200 million worth of goods under the GSP scheme which include gems and jewellery, carpets, sugar, cutlery and surgical items. The GSP does not include Pakistan’s core textile exports for duty-free market access.
