By Abdul Wajid Khan ISLAMABAD, Nov 05 (INP-Wealthpk) The Ministry of Commerce is taking steps to boost trade with China and other Far-East countries. According to a written statement of the ministry, owing to the addition of significant features to Phase-II of China–Pakistan Free Trade Agreement (CPFTA) which includes immediate market access on 313 items of Pakistan’s prime export interest, more robust safeguard measures, inclusion of balance of payment clause and Electronic Data Exchange (EDE) to curb under invoicing and misdeclaration of goods, bilateral trade in 2020-21 was recorded to the tune of $17,508 million. Pakistan’s exports to China in 2020-21 were $2,331 million, while imports [from China] stood at $15,777 million, said the statement. In a statement, Adviser to the Prime Minister on Commerce and Investment Abdul Razak Dawood Wednesday said the ministry’s focus on regional connectivity to increase trade with neighbours was beginning to show results. He said during the first quarter of the current Financial Year (2021-2022), Pakistan’s exports to China, Afghanistan, Iran, Turkey and the Central Asian Republics had grown by 35% to $938 million compared to $694 million in the first quarter of the last financial year. He also expressed that the country’s exports would reach $50 billion by implementing the policy of trade diversification by the fiscal year 2023. The commerce ministry’s written statement said in order to enhance market access to Pakistani products for Malaysia, a free trade agreement (FTA) – Malaysia Pakistan Closer Economic Partnership Agreement (MPCEPA) – is operational. After signing the FTA, Pakistan’s exports to Malaysia witnessed an increasing trend, from $81.3 million in 2006-07 to $138.06 million in 2007-08. Currently, Pakistan’s exports stand at $239.3 million which is three times the pre-FTA export value. Negotiations are also underway with Indonesia to broaden the scope of existing PTA (Preferential Trade Agreement) to an FTA. Indonesia Pakistan Preferential Trade Agreement (IP-PTA) has been signed which is operational since 2013. As a result of persistent trade diplomacy, Pakistan gained unilateral “zero duty” market access on 20 tariff lines of its export interest. A notification to this effect has been issued by the Government of Indonesia and the newly granted market access is operational since 1st March, 2019, it added. The ministry added that negotiations are underway for securing market access at preferential rates in Thailand by signing a free trade agreement, and to this end, nine rounds of negotiations have been held to date. Currently, both countries are finalizing their respective offers on the request list of priority 200 tariff lines. “Efforts are undertaken to secure market access for Pakistani rice in the Philippines’ market on a par with other key competitors. Pakistan’s exports of rice to Philippines have been quite impressive over the years. However, it started decreasing in 2019-20, as Pakistan faced problems, being outside of ASEAN and having no FTA/PTA with Philippines. As a result of strenuous efforts of the Ministry of Commerce, Philippines issued an executive order on 15th May, 2021 wherein the import duty on rice was cut at the rate of 35% from in-quota purchases and 50% for out quota volume for one year on a par with ASEAN, it said. Pakistan has also established a monitoring committee with Japan, which is a cross-institutional mechanism to address the issues being faced by the business community on both sides and to facilitate a hassle-free bilateral trade. For Vietnam, it added, Pakistan is exploring the possibility of entering into an Extended Cumulation arrangement to enhance quality and quantity of its exports. Furthermore, the 5th meeting of Pakistan-Vietnam Joint Trade Committee is expected to be held in the last quarter of 2021. Pakistan is facing severe economic difficulties due to the very low volume of exports and large trade deficit needing a significant increase in exports through upgradation of manufacturing sector and diversification of exportable products. It is believed that in subsequent years, the country will be able to strengthen its manufacturing capacity to boost exports through the special economic zones of the China-Pakistan Economic Corridor (CPEC).