Karachi
\nMian Zahid Hussain, President Pakistan Businessmen and Intellectuals Forum & All Karachi Industrial Alliance, Chairman National Business Group Pakistan, Chairman Policy Advisory Board FPCCI, and Former Provincial Minister Information Technology, has termed the European Union\u2019s GSP Plus status as a critical lifeline for Pakistan\u2019s export sector, asserting that the nation\u2019s economic stability is intrinsically linked to this preferential trade regime.
\nIn a statement issued today, he emphasized that the GSP Plus status, which allows duty-free access on 66 percent of EU tariff lines, has been the primary driver of Pakistan\u2019s export growth over the last decade.
\nHe noted that since the inception of the scheme in 2014, Pakistan\u2019s exports to the EU have surged by an impressive 108 percent, reaching 9 billion dollars in the fiscal year 2024\u201325.
\nMian Zahid Hussain pointed out that the EU is now Pakistan\u2019s most important export destination, accounting for approximately 29 percent of total exports. He shared that in 2024 alone, total trade between the EU and Pakistan reached 12 billion dollars, with 88 percent of Pakistan\u2019s exports to the region utilizing GSP Plus preferences. The textile and apparel sector remains the largest beneficiary, accounting for nearly 75.8 percent of these preferential imports. He highlighted that this status not only saves Pakistani exporters hundreds of millions of euros in annual tariffs but also secures the livelihoods of several million workers, including a significant number of women.
\nThe veteran business leader warned of the dire implications should this status be withdrawn or suspended. He cautioned that losing GSP Plus would immediately make Pakistani products uncompetitive against regional rivals, potentially leading to a sharp decline in export volumes and a loss of market share that could take decades to recover. He noted that such a setback would exacerbate the current account deficit, trigger massive unemployment in the industrial hubs of Karachi, Lahore, and Faisalabad, and deter much-needed foreign direct investment. He referred to recent EU monitoring reports which, while acknowledging progress, have flagged 13 priority areas of concern including labor rights, freedom of expression, and the implementation of environmental conventions.
\nRegarding the way forward, Mian Zahid Hussain urged the government and the private sector to work in unison to ensure full compliance with the 27 international conventions tied to the GSP Plus framework. He welcomed the EU\u2019s decision to extend the current scheme until 2027 but stressed that the upcoming 2026 monitoring report will be a decisive turning point. He called for the effective implementation of the National Action Plan on Business and Human Rights, further legislative reforms to eliminate child and bonded labor, and a visible commitment to climate change goals under the Paris Agreement. He concluded by stating that Pakistan must transition from a strategy of \u201ccompliance for trade\u201d to a \u201cculture of rights and sustainability\u201d to secure its economic future in the global market.<\/p>\n","protected":false},"excerpt":{"rendered":"
Karachi Mian Zahid Hussain, President Pakistan Businessmen and Intellectuals Forum & All Karachi Industrial Alliance, Chairman National Business Group Pakistan, Chairman Policy Advisory Board FPCCI, and Former Provincial Minister Information Technology, has termed the European Union\u2019s GSP Plus status as a critical lifeline for Pakistan\u2019s export sector, asserting that the nation\u2019s economic stability is intrinsically […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[5],"tags":[],"class_list":{"0":"post-538685","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-business"},"yoast_head":"\n