Pakistan Eu Trade Agreement

By September 30, 2021 Uncategorized No Comments

The EU is Pakistan`s largest export destination. In 2019, the EU accounted for 33% of Pakistan`s external trade of exports to the EU worth €7.492 billion, mainly textiles, but also medical equipment and leather products, while EU exports to Pakistan amounted to €5.545 billion (mainly mechanical and electrical equipment, but also chemicals and pharmaceuticals). 5] EU imports from Pakistan continue to increase, while EU exports to Pakistan are on a downward trend for two main reasons: (i) weak demand from manufacturing, as pakistan`s economy has grown more steadily since 2018; and (ii) Pakistan`s total imports are generally declining, reflecting the Government`s policy of discouraging imports in order to fill the emerging trade gap. The first trade cooperation agreement between the European Commission and Pakistan was signed in 1976 and ten years later a five-year trade and cooperation agreement was signed, which has since been tacitly applied by extension. Madi Sharma, who heads the think tank Women`s Economic and Social, opposed Pakistan`s continued membership and said: “The Commission is only turning a blind eye to Pakistan`s violations of the agreement” The cornerstone of the EU is democracy. The agreements BETWEEN the EU and Pakistan are therefore based on democracy and its underlying values: respect for human rights, good governance and the rule of law. Since 1995, the EU has incorporated democracy and human rights clauses into its foreign policy and development cooperation. The promotion of democracy has become a key element of the EU`s development cooperation with Pakistan, not only because of its added value, but also because of security concerns. In October 2009, the European Parliament adopted a resolution entitled “Strengthening democracy in external relations”.

The document formally called for the coordination of its external action with the promotion of democratic values, human rights and development instruments. In particular, it supported the definition of democracy by the United Nations. [3] Bilateral trade relations between the EU and Pakistan are governed by the 2004 Cooperation Agreement. The promotion of bilateral trade and investment is also part of the 2012 EU-Pakistan Five-Year Engagement Plan. Even France stresses the importance of commercial interaction. According to the Pakistani newspaper Nation, Marc Baréty, France`s ambassador to Pakistan, visited the Lahore Chamber of Commerce and Industry (LCCI) last month to stress that President Emmanuel Macron was a priority for trade to ensure economic stability. Another problem with the EU is that it is not seen as a serious political and security actor. In this area, the Institutional Framework and political conditionality of the Union prevent it from being perceived as a strong power. The EU`s focus on trade and democracy and the fact that it is virtually lacking in the area of security and military support (with the exception of counter-terrorism and police training programmes) limit their potential influence on Pakistan. . .