November 20, 2008

Pakistan to add more items on white list for imports from India

Reuters reported that Pakistan is expanding its bilateral trade with India by allowing more imports from the neighboring country, including diesel and fuel oil.

Mr Ahmed Mukhtar said a cabinet minister said that Pakistan's decision to expand its list of imports from India is part of efforts to cut its widening trade deficit and reduce rising transport costs on imports from far off countries. He said that "We are gradually liberalizing our bilateral trade with India.”

Mr Mukhtar said that Pakistan is adding diesel, fuel oil and many other items on the list of imports from India. He said that "It will be cheaper to import from India due to differences in transportation cost. This will also help us to address our global trade deficit.”

Pakistan's trade deficit for the fiscal year 2007-08 widened by 52.95% to USD 20.74 billion as against USD 13.56 billion in the same period last year, mainly due to rising global oil prices.