Pak & Uzbekistan initiate process to sign PTA

16 Dec '05

1 min read

Preferential Trade Agreement (PTA) is going to be signed between Pakistan and Uzbekistan as Pakistan has despatched proposals in this connection.

Pakistan has also sent a reminder to Government of Uzbekistan to finalize PTA as early as possible, according to Pakistani sources.

Bilateral negotiations will initiate soon after receiving a nod from Uzbekistan, which wished to boost current trade volume of US $1 billion.

Uzbekistan is heavily reliant on raw cotton exports, which has grown manifolds after independence because the country has started trade transactions with Pakistan that is raw cotton for textile products.

Since Uzbekistan and other Central Asian states do not manufacture ready-to-wear cotton clothes, shoes, leather goods etc, Pakistan has opportunity to export these finished goods.

On the other hand, Uzbekistan is the densely populated country among Central Asian states having cheap labour, raw material and with development of basic infrastructure like railways, roads and telecommunication; these provide attractive investment opportunities.

Pakistani businessmen can invest in the light engineering industry, textile factories, cotton cleaning plants, fertilizer plants and fabrics.

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