ISLAMABAD: Pak-Jordan 9th Joint Ministerial Commission (JMC) decided to begin negotiations immediately for a Preferential Trade Agreement, leading eventually to a Free Trade Agreement between the two brotherly nations.
Since Pakistan has no FTA or PTA with any Middle Eastern country, therefore conclusion of FTA with Jordan will open up vast markets of these countries for Pakistani businessmen along with tremendous export opportunities because Jordan is enjoys duty free access in the US market due to Qualified Industrial Zones (QIZs) under the USA-Jordan FTA operational since January 01, 2010.
“The total volume of trade between the two countries is $69.625 million during 2013-14, which does not match the potential of the two economies and bilateral cordial political relations” a well placed source at Ministry of Commerce told this scribe here on Thursday.
Cabinet in its meeting held on October 4, 2006 had approved the summary moved by Ministry of Commerce to initiate negotiations with Jordan on Free Trade Agreement.
In pursuance of 8th session of the Jordan-Pakistan JMC held at Islamabad from 26-27 June 2006, the first round of Jordan- Pak FTA exploratory discussions was held in Amman from 4-5 March, 2009. Since then no further discussion has been held to explore the new bilateral trade horizons.
The first round was exploratory in nature wherein structure of FTA were discussed and the real negotiations were to begin in the second round whereby chapters covering general provisions, trade in goods, rules of origin, trade remedies, bilateral safeguard measures etc in addition to tariff elimination modalities would be discussed.
During this period, both sides had been realized to create free trade area between the two countries in order to boost trade and commerce by facilitating business communities through to duty free access in the markets of the two countries.
In August last year Jordanian side conveyed interest to hold 2nd round of FTA negotiations and MoC reciprocated.
Under this approach, on Thursday, at the platform of 9th Pak-Jordon Joint Ministerial Commission (JMC) meeting held in Amman, both sides agreed to enhance their economic and trade relations to complement the historical and extraordinarily positive political, diplomatic and defense relations.
JMC with an interval of nine years where Minister for Commerce Engr. Khurram Dastgir Khan led an official delegation at JM C while Jordanian side was led by Minister for Industry, Trade and Supply Maha Ali.
Commerce Minister highlighted the potential of Gwadar as the gateway for Jordan’s trade with Afghanistan and Central Asian states. He encouraged the Jordanian private sector to enhance exchange of business delegations, and urged Government of Jordan to establish a Pakistan-specific Special Economic Zone in Aqaba and to relax visa procedures for businessmen.
He welcomed the fact that Jordan Chamber of Commerce will lead a delegation of prominent business leaders to Karachi next month for Inaugural Session of Pakistan-Jordan Joint Business Council.
Jordan’s Trade Minister invited Pakistani industrial sector to set up facilities in Jordan to capitalise on Jordan’s free trade agreements with United States and Canada. She also expressed interest in purchasing wheat from Pakistan.
JMC was concluded with signing of four Memorandums of Understandings on Cooperation between Trade Development Authority of Pakistan & Jordan Investment Commission (JIC); Strengthening of Cooperation in all Sectors of Investment between Pak Board of Investment and JIC; Standardization, Metrology, Certification, Accreditation and other Related Activities between Jordan Standards and Metrology Organization and Pakistan Standards and Quality Control Organization and Recognition of Training and Certification of Seafarers’ between Jordan Maritime Authority and Pakistan Ministry of Ports & Shipping.
During his visit, Commerce Minister Engr. Khurram Dastgir Khan called on Jordanian Prince Hassan Bin Talal and Prime Minister Dr. Abdalla Ensour to discuss current crisis in the Middle East and economic integration between Islamic countries.
The Minister visited his counterpart as well as Amman Chamber of Commerce, and attended a reception hosted by President of Jordan Chamber of Commerce.
