Connect with us

EurAsian Region

Pakistan-Turkey Relations Are Crumbling as Dispute Reaches WTO

Published

on

Pakistan-Turkey Relations over free trade appears to have crumbled as the dispute has been taken to the WTO. The Free Trade Dispute between Pakistan and Turkey have been brewing for quite some time, but it seems the two nations have not reached an agreement. After lengthy deliberations over the Pakistan-Turkey Relations over Trade, they seem to have reached a dead end.

Turkey enjoys a GSP+ status over shared customs union with the EU. Pakistan has put across an argument that Turkey has not extended the status to Pakistan and Armenia, although it has with all other countries.

Pakistan-Turkey Relations and Reversal of Duties

In addition to the GSP+ status issue, the Pakistan-Turkey relations have also been rattled by Pak, demanding a reversal of extra duties that the government of Turkey had imposed on Pak produced goods that had a high potential for export in the Turkish market, in 2011. Since the beginning of 2015, Pakistan has been bringing up the issue of additional duties at the FTA but no solution has been churned out yet.

Also Read: Turkey-EU Relations: Why is Austria Blocking Turkish Accession to EU?

The Pak produced goods in question include fabrics, apparels, textiles, handmade fibres, footwear and plastics. The duties lie between 20-50%, mounting to the other duties payable. The result of these additional duties has been a severe loss for Pakistan as the exports to Pakistan fell rapidly from 2011 to 2017.

Pakistan-Turkey Relations over GSP+ and FTA

As reported by Dawn, a Pakistani daily, the ministry of commerce in Pak believes that Turkey must extend its GSP+ status with the country and a demand for the same was first made in 2014. Replying to the demand Turkey had extended the FTA proposal. In 2017, at the FTA meet, Pakistan again demanded that Turkey extends its GSP+ status or the two nations grant reductions in tariff for each other; thus giving the lowest tariff that any two countries share under the FTA.

Also Read: India-Jordan Relations Strength with Defence, Healthcare and Cultural Ties

To bridge the Pakistan-Turkey relations, the Turkish government proposed a reduction in the extra duties payable that were imposed in 2011, spreading across 5 years. However, the Pak commerce ministry rejected that proposal. The country further requested higher authorities to intervene and if that failed, the Turkish made products would be charged an additional retaliation tariff. Both recommendations were rejected.

The Joint Working Group Discusses the Pakistan-Turkey Relations

The end of 2017 brought together the Joint Working Group to discuss the strained Pakistan-Turkey relations on matters of commerce. Turkey stated that it would not extend its GSP+ status to any more nations than those it already shares it with.

The FTA meets to find a solution to the Pakistan-Turkey relations has already been twice extended. No more meetings are scheduled as of now and the two nations are at an enraged trade conflict with one another.

Other News:

Advertisement
Advertisement

Facebook

FEATURED

F18-India-Deal F18-India-Deal
Asia Pacific55 mins ago

Doors Open For More Rafales, Super Hornets As Accident-Prone Indian MiG-29 Crashes Third Time In A Year

Thursday’s crash of the Indian Navy’s MiG-29K trainer aircraft in the Arabian Sea has once again revived the debate whether...

INDIA-CHINA INDIA-CHINA
Asia Pacific1 hour ago

Xi’s China Eradicates Absolute Poverty; Where Does Modi’s India Stand?

Amid the Covid-19 pandemic, China has reportedly achieved its long-standing goal of ending absolute poverty. However, there have been no...

Iranian-Islamic-Revolutionary-Guards Iranian-Islamic-Revolutionary-Guards
Featured2 hours ago

Israel-Iran War: Why Israel & US Are ‘Keenly Awaiting’ Iran’s Retaliation After Top Nuclear Scientist Assassinated?

Iranian President Hassan Rouhani directly accused Israel of assassinating Mohsen Fakhrizadeh, the Islamic country’s prominent nuclear scientist. He, however, added...

Russia-China Russia-China
Featured11 hours ago

Are Russia & China Taking A Lead From NATO & Working To Develop A Joint Nuclear Powered Aircraft Carrier?

China and Russia’s common adversary, the US, has brought the two powers together and have cooperated by carrying out joint...

JU-88 JU-88
Featured11 hours ago

How The US Got Hold Of Nazi Germany’s Most Ferocious Multi-Role Warplane – The Ju-88s?

The Junkers Ju-88 combat aircraft that was a mainstay in Nazi Germany’s air force, Luftwaffe, miraculously found their way to...

Indian-Armed-Forces Indian-Armed-Forces
Asia Pacific17 hours ago

Indian Elite Marine Commandos (MARCOS) Deployed In Ladakh As India-China Border Tensions Refuse To Die Down

In the latest development in the India-China border standoff, the Indian Navy has deployed its elite Marine Commandos (MARCOS) near...

Bubonic Plague Bubonic Plague
Featured17 hours ago

China Blames India & Pakistan For COVID-19 Pandemic; Gives Clean-Chit To Original Epicenter – Wuhan

A new study by Chinese researchers has now claimed that the COVID-19 virus originated in the summer of 2019 in...

BRAHMOS BRAHMOS
Expert Reviews19 hours ago

Modified Version Of BrahMos Anti-Ship Cruise Missile Successfully Tested; Hits Target With Pinpoint Accuracy

The Russian Navy has once again test-fired its latest hypersonic anti-ship missile Zircon, also spelled as Tsirkon which is reported...

Missile-System Missile-System
Asia Pacific20 hours ago

Japan’s Biggest Threats Aren’t China And North Korea, But A Challenging Issue Within Its Own Army

Japan’s dwindling birthrate has now become a security threat as the Self Defense Forces (SDF) face challenges to recruit personnel...

Boycott-Chinese-Products Boycott-Chinese-Products
Featured21 hours ago

China Ends Western Nuclear Monopoly With Indigenous Hualong One Reactor – Chinese Media

The China National Nuclear Corp (CNNC) claimed on Friday that its first Hualong One, a third-generation pressurized water nuclear reactor,...

Advertisement
Advertisement