News update: – 17th December 2019, according to recent news reports, Mr. Abdul Razak Dawood who is an adviser to Prime minister of Pakistan. He said while talking to the media after the important meeting, that the Gwadar port has been operationalized for import and export, saying that it would decrease the burden on the Karachi port.
Furthermore, the tweet about the information that the departure of a container. It was carrying three fish containers worth $50,000 each. For a Far-Eastern nation in progress the seafood exports through Gwadar port. However, the port shows noticeably in the China-Pakistan Economic Corridor (CPEC). It is consider to be an important link to China’s flagship Belt and Road Initiative (BRI).
While Port has been already adding in the Gwadar port for import and export. It has already been include in the transit rules trace below the Afghanistan-Pakistan Transportation Trade Agreement 2010. Before, the government create a committee to draft transit and trans-shipment rules as part of the port’s growth.
According to the 2019 National Tariff Policy (NTP), Pakistan is unable to make progress and match the given target with that of its neighbors. Also, the situations since 2003 the global market share of China, India, Iran, and Afghanistan. It is also shows growth by 216%, that of the Saarc district by 186% and the Organization for Economic Cooperation (ECO) by 127%. However, Pakistan’s share has lessen by 19%.
The main reason behind the slow progress is that government high tariff barriers the government of Pakistan. As it keeps adding and tax on imports. According to NTP, by Fiscal Year 14 average tariffs had been reducing to 8.9% from 23.1% in the financial year 2000, taking it to a 173% increase in exports. In Fiscal Year 19, the tariffs are again bit improved to 11.6%. It also saw a decline of $2.1 billion, or 9.1%, in the value of exports.
Pakistan has five duty blocks 0%, 3%, 11%, 16%, and 20%, with a large number of tariff lines subject to additional customs duties. While some subdivisions such as automobiles and auto parts are not included in these slabs and are subject to much higher duties ranging from 60% and more. We hope that the current government will look into these matters and make better plans for the future.
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