Pakistan-Turkey FTA (Free Trade Agreement) talks to conclude by December

Turkish Consulate Commercial Attaché in Karachi Murat Mustu has said that negotiations for a free trade agreement (FTA) between Pakistan and Turkey are planned to be concluded by December this year, which will be followed by the signing of the agreement.

Giving a presentation on the subject “Recent developments in Turkey and Turkey-Pakistan FTA negotiations” during a visit to the Karachi Chamber of Commerce and Industry (KCCI), Mustu revealed that representatives of the two countries would meet in Istanbul by the end of October to review the request lists.

He looked fairly optimistic that after the FTA came into force, the trade between Pakistan and Turkey would improve substantially and the pact would prove beneficial for both.

Terming it a “new generation FTA”, he said the agreement focused on liberalisation of trade in goods and services as well as investments.

Turkey has so far signed FTAs with 23 countries whereas talks with 14 others, including Pakistan, are under way.

Mustu disclosed that Pakistan’s Ministry of Commerce would hold meetings for public consultation in Karachi and Lahore on October 4 and 6 respectively to gather suggestions and recommendations from relevant stakeholders on free trade with Turkey.

Earlier, KCCI President Younus Muhammad Bashir highlighted that Karachi, which contributed more than 65% of revenue to the national exchequer, was an attractive place for Turkish investors and they could make maximum profit by setting up businesses or undertaking joint ventures.

“The Karachi Chamber is keen to strengthen trade ties and explore new trade prospects with Turkey as Pakistan’s improved relations and enhanced commerce with countries like Turkey will help in dealing with the economic crisis and ensure prosperity for both nations,” he said.

In 2015-16, Pakistan exported commodities worth $215 million to Turkey while its imports stood at $249 million.

Bashir saw a huge potential for enhancing bilateral trade by exchanging more commodities of interest between the two countries.

Turkey imports pearls and precious stones, pharmaceuticals, cotton, man-made filaments and cereals from other parts of the world. “Pakistan can target Turkey as its potential export market for all these commodities,” he suggested.

Bashir was of the view that both countries also had room for joint development and technology sharing.

They could further strengthen cooperation in the area of defence with the exchange of state-of-the-art equipment.