Thailand-Pakistan free trade pact nears finalization
Thailand is expected to complete discussions on a free trade agreement (FTA) with Pakistan within this year.
Auramon Supthaweethum, director-general of the Department of Trade Negotiations (DTN), said only one out of 13 items was left on the agenda.
DTN believes that the FTA with Pakistan will help boost the Thai economy by 0.18 to 0.32 per cent or between US$200 million and $800 million in value.
The sector that will benefit the most from the FTA is auto-parts, in which Thailand already holds a one-fifth market share in Pakistan.
The FTA will also help turn Pakistan into a production base for the South Asia, Middle East and China markets. Auramon pointed out that Pakistan has policies that support investment in over 22 special economic zones.
Pakistan is a large, attractive market with some 30 million consumers, and also has abundant natural fishing resources with will be beneficial for Thailand’s seafood industry.
Pakistan is also Thailand’s second-largest trade partner in South Asia, with trade valued at $980 million.