ISLAMABAD: Pakistan’s exports to 12 European Union (EU) countries increased by over 100% from 2013 to 2021 under Generalised Scheme of Preferences (GSP+), WealthPK reported.
Pakistan’s exports to Poland, Hungary and Bulgaria increased by 332%, 245% and 242%, respectively, during the said period under the GSP, said the Ministry of Commerce.
Exports to Denmark, Czech Republic, Ireland, Cyprus, Romania, Portugal, Spain, Slovenia and Spain also grew in triple digits from 2013 to 2021. Exports to eight EU member states also surged by over 50% since 2013 when Pakistan was granted GSP-Plus status for a ten-year period. Austria, Malta, Germany, Latvia, Greece, France, Italy, and Sweden are the markets where Pakistan’s exports grew by over 50%, mentioned in the report, a copy of which is available with WealthPK.
In terms of value, Germany is the top export destination for Pakistan in the EU. Pakistan’s exports to Germany were recorded €1.615 billion in 2021, that accounts for 7.2% of the country’s total exports.
Exports to Spain, the second largest market for Pakistan in the EU, were recorded €884.82 million in the last fiscal year, 4.1% of Pakistan’s total exports.
Exports to the Netherlands amounted to €806.02 million, 3.5% of total exports in the fiscal year 2020-2021, said the report.
Pakistan’s exports to Italy, France and Belgium were recorded €763.51 million, €626.31 million and € 455.91 million, respectively, in the period under review.
Germany is also a top destination of imports for Pakistan in the EU. Pakistan imports from Germany rose to €1.33 billion in 2020-21 from €832.8 million in 2013-14, with an addition of 60.
Pakistan’s imports from Belgium remained €866.1 million during last year, registering a growth of 143% over the year 2013-14. Italy remained the third largest destination of imports with €754.1 million followed by the Netherland and Spain with the imports’ value of €672.9 million and €359.4 million, respectively.
The EU GSP+ is a scheme of extensive trade concessions which aims to help a few developing countries selected on the basis of criterion in adopting principles of sustainable development and good governance in their national policies through effective implementation of 27 UN conventions.
In December 2013, the EU Parliament enacted the legislation that put in place its GSP scheme for the period of 2014-2023. Pakistan was included as one of the beneficiaries of GSP+ trade concessions among 13 other countries initially. Pakistan’s overall exports to the EU increased from €3.56 billion in 2013 to €6.64 billion in 2021, with an addition of 86.51%. Likewise, Pakistan’s imports from EU member states also rose from €3.31 billion in 2013 to €5.59 billion in 2021, with an increase of 69%.
According to data, 28% of Pakistan’s total exports in 2021, were sent to EU countries. According to the Ministry of Commerce, GSP-Plus incentive provides many Pakistani export-oriented products including garments, bed linen, terry towels, hosiery, leather, sports and surgical goods duty-free access in the EU market.
The Government of Pakistan is optimistic about retaining the EU GSP-Plus status for another ten-year period after current status expires on December 31, 2023.
The government has made its best efforts for implementation of 27 UN Conventions in a bid to retain the EU GSP-Plus for another decade, the Ministry of Commerce said in a document submitted in the Parliament.
INP
