As the December 31 deadline for reviewing the progress on trade with India approaches, there seems to be a sense of urgency on the part of the Commerce Ministry to consult stakeholders. This, those opposed to this move maintain, is probably to create a sense of fair play on the part of the Ministry.
The Commerce Ministry is to present a review of progress on trade with India to the Cabinet and on the basis of that review, a decision will be taken to either remove the negative list or to defer the decision, said one of the stakeholders on condition of anonymity.
It is in this background that "the government seems to suddenly realise that it has an obligation to its own citizen and industry as well," another stakeholder stated.
A Commerce Ministry team, led by Acting Secretary Commerce Munir Qureshi, met industrialists in Lahore in which he faced fierce criticism. "It is to serve the agenda of foreign masters alone on whose behest this whole policy is being pushed through in a hurry," said one prominent pharmaceutical senior executive.
The criticism by the country''s agricultural sector has forced the Acting Secretary Commerce to run to Lahore and Karachi to meet different stakeholders.
Munir Qureshi spent two full days in Lahore last week meeting different industrial groups and businessmen. Prominent among them were those belonging to the auto, agriculture and the pharmaceutical sectors. He also visited the Wahgha customs operations on both sides of the border to evaluate arrangements and the progress made since the March 20 change in the Pakistan-India trade ties as trade moved from the positive list to the negative list. Reportedly, passions ran high against opening up of trade with India amongst all groups that met the Acting Secretary, commented another stakeholder.
Powerful agriculturalists are all against the idea as, firstly, feel that they were left out of the process of consultation for such an important decision; and secondly, in face of the clear disadvantage given the heavily-subsidised Indian agriculture, Pakistani farm community feels it would be a major folly to allow free import of Indian products. A comparatively small but well prepared group of pharmaceutical industry presented Munir Qureshi with trade policies for the pharma industry of Bangladesh, Sri Lanka and India. The pharmaceutical industry representatives opposed the opening up of trade with India as well.
Representatives of the auto sector came in force to meet Qureshi to present their view point. PAAPAM representatives were especially vocal in opposing removal of Negative List. They presented documents explaining Non-Tariff and Technical Barriers to Trade the vending industry is facing in their bid to export to India.
Nabeel Hashmi, a former Chairman of PAAPAM, asked Munir Qureshi ''what actions had been taken on the presentation they had made to the Government on the issue almost six months ago?'' The Acting Secretary responded that he was not aware of any such document.
The industry demanded that it be provided equal opportunity to access the Indian market. This was only possible if India removed non-tariff and technical barriers. Granting MFN status to India should be linked with progress made on granting access to Pakistani products, they argued.