Time Period for Assignment (30 to 45 working days)
Feasibility Studies for the Possible Free Trade Agreements with China, Malaysia, Singapore, Indonesia, Bangladesh, Tunisia, Morocco, Laos, Mauritius and Gulf Cooperation Council
Brief Project Description
The project aims to provide support to the Government of Pakistan and other stakeholders including private sector in ensuring that the country can strategically seize the opportunities of global economic and trade integration for advancing national progress in human development and poverty eradication.
There is a growing tendency for regional and bilateral trading agreements alongside the multilateral trading system under the WTO. Pakistan is no exception to this. The Government of Pakistan is actively pursuing for Preferential and Free Trade Agreements with number of countries especially China, Malaysia, Singapore, Indonesia, Bangladesh, Tunisia, Morocco, Laos, Mauritius and Gulf States.
To reach a meaningful FTA with any of the above mentioned countries, government need a quick situation analysis; strengths and weaknesses as well as the potential of the trade enhancement between Pakistan and the other country. The Technical Support Document (TSD) would be country specific with a focus on providing pertinent information on the following
- Trade in Goods
i) Tariffs especially on goods of our Pakistans export interest
ii) Para Tariffs
iii) Non-tariff Barriers
- Customs Procedures and Facilitations Measures
- Investment Climate and related policies
- Industrial Policy and incentive to investors
- Subsidies and incentives to exporters.
- Trade in Services; policies and incentives
- Bilateral and Regional Trade Agreements; PTAs and FTAs - the level of tariff concession given under such Arrangements.
- The system of dispute resolution relating to trade disputes.
- Local taxes (excise, sales tax, value added tax etc.) and their linkage on import tariffs.
- Regulations for domestic sale of imported commodities and those applied to locally manufactured goods.
- Cost of utilities, labour and capital.
- Analysis of the financial system and support to local industry.
- Competitiveness of Industrial goods manufactured locally and those produced in Pakistan.
- Quarantine requirements and laws on agriculture imports; whether or not WTO compatible.
- Any other factors which could affect bilateral trade. In case of reduction of tariff under PTA or elimination of tariff under any FTA.
- Identification of sectors required to be protected in bilateral arrangements.
It has been realized that Pakistan relies on a narrow export base so potential sector for export diversifications may also be identified and how any PTA/FTA could help in development of a new industry. Study should also look into possible impacts of any PTA/FTA on the livelihoods of the people, especially on employment generation, employment security and other market variables in the country.