European Union increases Pakistan's GSP Plus status to 2027

The European Union has increased Pakistan's GSP Plus status to 2027 for another four years. Ambassador of the European Union (EU) Raina Kionka has said that rather than staying confined to exporting textiles only, the business community of Karachi should broaden and diversify their exports to the EU to take maximum advantage of the EU's GSP Plus for Pakistan which has recently been rolled over for four more years up to 2027.
"GSP Plus is tremendously important for Pakistan's economy whose overwhelming beneficiaries are not just textile producers but by triddedown effect, all those people as well who work in textile factories.
GSP Plus has been extremely positive and useful in economic terms during the last 10 years as it helped in increasing Pakistan's exports to the EU by 108 per cent while EU imports also ascended by 40 per cent since the start of this program", she added while exchanging views at a meeting during her visit to Karachi Chamber of Commerce & Industry (KCCI).
President KCCI Iftikhar Ahmed Sheikh, Senior Vice President Altaf A Ghaffar, Vice President Tanveer Ahmed Barry, Chairman Diplomatic Missions in Embassies Liaison Subcommittee Farooq Afzal, Trade Advisor EU Delegation to Pakistan Hasnain A Iftakhar and KCCI Managing Committee Members were present on the occasion. Raina Kionka further stated that EU's GSP Plus for Pakistan has been rolled over without any changes to the rules framework so everything was going to stay the same up to 2027.
"We also have elections in June 2024, which means there will be a political changeover in the Parliament and the EU's Commission. Once everything settles, we expect that the new Parliament and the Council of EU member states will once again take up negotiations on a new directive for GSP Plus with Pakistan which couldn't happen last year. Although it's a four-year rollover for GSP Plus if they come up with a new regulation, it will become effective before 2027."
While identifying Gems and Jewelry, Tourism, Handcrafts and Auto Parts etc. as potential sectors under GSP Plus, the EU Envoy noted that 28 per cent of Pakistan's exports come to the European single market which was a good number but it could be a lot bigger which was one of the main things EU Delegation in Islamabad has been working on so that Pakistan's exports could be enhanced through better utilization of GSP Plus, diversifying exports, investing in value-addition, using new technologies & IT solutions for better access to EU Market, besides bringing in the SMEs who are the backbone of any economy. She informed that the EU's delegation in Islamabad would also like to set up a platform to promote EU-Pakistan business-to-business relations which could also help the SMEs in making good connections with businesses in the EU and ultimately help the SMEs in Pakistan to benefit from GSP Plus.