ISLAMABAD – Canadian government is likely to give a preferential tradepartner status for Pakistan.

This agreement would boost the country’s current exports of minuscule $700million a year to North American country, officials said on Monday.

The officials said a not-for-profit organisation Trade Facilitation Office(TFO) of Canada tentatively approved Pakistan’s inclusion into MarketAccess and Capacity Building Project 2019-23, designed to encourage exportsfrom developing economies under preferential tariffs.

In 2017, Pakistan was the Canada’s 29th largest export destination formerchandise, with bilateral trade reaching $1.04 billion. Canadian exportsto Pakistan totaled $693 million and imports from Pakistan totaled $351million. In July-April 2018, exports to Canada stood at $102.2 million, up4.6 percent while total imports from Canada clocked in at $169.5 millionduring the period under review.

Textiles, leather and food products accounted for 74 percent of Pakistan’sexports to Canada. Non-textile exports are also growing. The Canadianbiggest export products, oil seeds and lentils, remained subdued due touncertainty over the phytosanitary conditions applied by Department ofPlant Protection in Pakistan.

Officials said Canadian TFO forwarded its recommendations to Global AffairsCanada – a government department that manages the country’s diplomatic andconsular relations – for final decision, which is expected by the end of2018.

TFO Canada is currently implementing the Canadian Market Access andCapacity Building Services program with funds provided by Global AffairsCanada.

“Inclusion in the program would give a much needed boost to country’sexports to Canada,” an official said.

TFO Canada confronts the challenge of global poverty by promotingsustainable economic development through export information, advice andcontact. The organisation facilitates access to the Canadian marketplaceand shares Canadian trade expertise for the benefit of smaller exporters indeveloping countries.

The official said the fund aims at assisting developing countries and theirsmall and medium enterprises take advantage of new export opportunitiescreated by free and preferential trade agreements with Canada. The programplaces an emphasis on initiatives that will help ensure that free andpreferential trade access to Canada will ultimately contribute to jobgrowth and poverty reduction in developing countries, and those which alsoaddress gender inequality or environmental concerns in doing so.

High Commission of Canada in Pakistan said the priorities for the bilateralinternational assistance program are based on Pakistan’s developmentpriorities and Canada’s comparative advantage in line with its feministinternational assistance policy.

Canada’s development assistance to Pakistan also includes multilateral,partnership and humanitarian programming. Additionally, project funding inPakistan has come from the International Development Research Centre. TheCanada fund for local initiatives provide direct funding assistance forsmall projects to local non-government organisations (NGOs) and, inexceptional cases, international NGOs and government institutions.