ISLAMABAD, Feb. 7 (Xinhua) -- The recent round of negotiations regarding the balance of trade in the Preferential Trade Agreement (PTA) between Pakistan and Indonesia is likely to increase Islamabad's exports to Jakarta by 200 million U.S. dollars annually, officials said Wednesday.
Senior officials of the Ministry of Commerce and Trade told the local media that the trade volume between Pakistan and Indonesia currently stands at 170 million U.S. dollars annually.
The current figure is likely to swell to 370 million U.S. dollars after the recent PTA talks. The both sides agreed to expand the scope of PTA and turn it into a Free Trade Agreement (FTA).
During the recent talks, the two countries discussed 20 tariff lines, of which, Indonesia agreed to give unilateral concession to Pakistan's major exports including zero-rated tariff on textile fabric, tobacco, citrus, T-shirts, mangoes, ethanol, rice, apparel and woven fabric.
The ministry official termed the unilateral concession on 20 tariff line as a major success for Islamabad as it would lead to the exports of Pakistani mangoes and citrus to Indonesia, which is set to increase trade volume and earning through exports for Pakistan.
The official pointed out that before the recently held PTA negotiations, Pakistan could export mangoes and citrus to Indonesia for only two months in the year, but now these two fruits can be exported to the country anytime in the year.
The Pakistan-Indonesia PTA was executed in February 2012, he added.
The official further stated that the Islamabad wanted to kick off negotiations process with the Pacific and the South East Asian nations on the proposed FTA in a bid to augment the multilateral trade and the improved trade and competitiveness in Pakistan's trade.
Countries like Japan, Indonesia, and Philippines in the Pacific region were also part of the list for starting PTA dialogue leading to FTA for the promotion of trade liberalization, he added.