The EU GSP Plus status Pakistan mutually advantageous agreement led to 86 per cent growth in Pakistan’s exports to the EU from 2013 to 2021, resulting in higher exports both for Pakistan and the EU.
Highlights of the GSP Booklet says that EU GSP Plus is a win-win scenario both for Pakistan and the EU, which results in increased exports.
Pakistan’s exports towards the European Union have risen between €3.56 Billion in 2013 to €6.64 Billion by 2021. This marks an 86 per cent gain. Pakistan’s imports from Eu members also have surged, rising from €3.31 Billion in 2013 to €5.59 Billion in 2021, a 69 per cent growth.
Increased bilateral trade has resulted in the creation of more jobs and improved worker conditions. The gov has evaluated and promoted sustainable business policies, as well as an overall improvement in Pakistan’s macroeconomic metrics.
In multiple Sectors, including machinery, EU exports to Pakistan have significantly increased since 2013. Steel & Iron (114 per cent Increase) Pharmaceuticals (143 per cent increase) Plastics (79 per cent Increase) and healthcare measuring tools (45 per cent inc).
In terms of country-by-country exports to Eu countries, Netherlands, Spain, Poland, Bulgaria, Ireland, Denmark, Cyprus, and Hungary are among the 12 EU countries where Pakistan’s export have increased by the more than 100%.
GSP Plus status Pakistan
GSP Plus status Pakistan has played an important role in Pakistan’s transition to a green economy. It resulted in the creation of legislative instruments and the implementation of policy initiatives for a cleaner and greener Pakistan. Pakistan has met the target for SDG 13 ‘Climate Action’ ten years ahead of schedule. Recharge Pakistan has been established with the goal of enhancing resilience climate and water security. A bill to safeguard the environment has been passed.
Pakistan’s commitment to improving decent work standards and workers’ rights has been strengthened as a result of GSP Plus. Pakistan has implemented legislative and policy measures to ensure the aforementioned, such as a 10% rise in the minimum wage by the Punjab government in 2021. The government of KP has increased the minimum salary by 20%. Pakistan is also preparing to implement a Better Work Program in the near future. Through the Export Development Fund, the Pakistani government is co-funding the ILO BWP.