Pakistan–Turkey Free Trade Agreement Explained

The Turkey-Pakistan Free Trade Agreement (also known as Pakistan-Turkey FTA) is a free trade agreement between Pakistan and Turkey.[1] It came into effect on 1 May 2023.[2]

The decision to initiate negotiations for a comprehensive bilateral FTA covering trade in goods, services and investment was taken at the 4th Session of the High Level Strategic Cooperation Council (HLSCC) in Islamabad in February 2015. The FTA negotiations began in Ankara in October 2015. During negotiations held between August 29–31 in Islamabad, both countries agreed to eliminate 85% of tariffs.[3]

The FTA is projected to increase bilateral trade to $5 billion between the years 2016 and 2019 and then to $10 billion by 2022.[4] [5] The free trade agreement between the two countries was expected to be signed before the end of 2016.[6] The Turkish Industrialists' and Businessmen's Association and Karachi Chamber of Commerce & Industry have supported the FTA.[7] Prime Minister Shehbaz Sharif witnessed the inking of the Preferential Trade Agreement at a ceremony held at the PM Office, as the visiting Turkish Trade Minister Dr Mehmet Mus and Minister for Commerce Syed Naveed Qamar signed the accord.[8]

Notes and References

  1. Web site: From Rep. of Turkey Ministry of Foreign Affairs. Republic of Turkey Ministry of Foreign Affairs. 2016-08-06.
  2. Web site: Pakistan and Turkey’s trade in goods agreement comes into effect, boosting bilateral trade . Ghulam . Abbas . May 4, 2023 . Pakistan Today.
  3. Web site: Pakistan, Turkey move closer to inking free trade agreement - The Express Tribune. 2016-09-01. en-US. 2016-09-02.
  4. Web site: Pakistan wants cut in customs duty on 35% of tariff lines - The Express Tribune. 2016-08-05. en-US. 2016-08-06.
  5. Web site: Pakistan, Turkey to sign FTA next week. www.thenews.com.pk. 2016-08-06.
  6. Web site: BUSINESS - Turkey, Pakistan sign free trade agreement framework. 2016-08-06.
  7. Web site: Bilateral trade: Progress made on Pakistan-Turkey FTA - The Express Tribune. 2016-03-22. en-US. 2016-08-06.
  8. Web site: 2022-08-12 . Pakistan, Turkey sign Preferential Trade Agreement . 2023-08-02 . The Express Tribune . en.