Pakistan-Malaysia to reduce duties on tariff lines
ISLAMABAD (APP): Pakistan and Malaysia are negotiating to further reduce duties on existing and additional tariff lines under Free Trade Agreement (FTA) to facilitate businesses of both countries, High Commissioner of Pakistan in Malaysia, Syed Hassan Raza said.
According to press statement received here, he was addressing a seminar held in Kuala Lumpur on "Doing Business with Pakistan", jointly organized by Malaysia External Trade Development Corporation (MATRADE) and High Commission of Pakistan Malaysia.
Over 200 Malaysian companies and Pakistani businessmen attended the seminar.
The High Commissioner highlighted the investment opportunities and trade potential in Pakistan and informed the participants that there were numerous opportunities for the companies in both countries, having FTA since 2008.
Current trading basket by both countries is limited to Palm oil, fibre board, rubber electrical and electronic equipment from Malaysia while from Pakistan main items being exported are rice, maize, cotton, textile, vegetables. Diversification of products was the key to boost trade between the two countries, he added.
On investments, he mentioned that present investment regime is the most liberal in the region. Foreign equity could be 100% owned by foreign investor and there were no restriction on repatriation of profits/royalties, almost all sectors are open for investment and one-window facilitation were some of the highlights of new policy, he added.
He said special incentives are available for auto sector investors under new Auto policy 2016-21. He emphasized that Pakistan was a stable, peaceful and welcome foreign investors who may visit any part of the country.
He also underlined the importance of promoting tourism between the two countries and informed about the various breathtaking and scenic locations as well as numerous opportunities for shopping at prices much lower than many other countries in the region specially offering excellent textile and other consumer goods.
He highlighted recent developments of economic cooperation between China-Pakistan which has culminated in China Pakistan Economic Corridor (CPEC), as part of One Road One Belt initiative.
It is as a game changer for the entire South and Central Asia regions in terms of connectivity, access, reduction of distance and time for movement of goods.
This would enhance development prospects of the region and provide investment and trade opportunities.
Earlier, Chief Executive Officer (CEO), MATRADE, Dato' Dzulkifli Mahmud highlighted the role of MATRADE in promotion of bilateral investment and trade between Malaysia and Pakistan.
Mahmud highlighted the advantages of doing business with Pakistani companies and said that both the countries have Malaysia-Pakistan Closer Economic Partnership Agreement (MDCEPA) since 2007 which became operation in 2008.
There are many consumer products under zero tariff regime, adding Pakistan offers very attractive opportunities in all areas of trade.
Dato' Dzulkifli also mentioned that ten Malaysian companies are working in Pakistan in different sectors. He urged the Malaysian service sector to explore opportunities in Pakistan.
Meanwhile, during a penal discussion, the panelists highlighted the regulatory and working environment in Pakistan and explained the ease of doing business and facilitation provided to them while establishing their business entities.
They projected that recent economic indicators of Pakistan reflect that country was on the path of development and future of new investors was promising in terms of returns on Investments and security of investment.