Federal Cabinet which will meet on November 29, 2011, is going to ratify the much awaited Preferential Trade Agreement (PTA) with the D-8 countries, after 5 years of its signing, official sources told.
According to the PTA, tariff above 25% will be reduced to 25 , above 15% and below 25 %will be lowered to 15 and above 10 and below 15 will be reduced to 10%. The Developing - 8 is an arrangement for development of co-operation among the 8 Muslim developing countries, which include the following
Bangladesh, Egypt, Indonesia, Iran, Malaysia, Nigeria, Pakistan and Turkey.
The sources said, the Ministry of Commerce led the negotiating team of Pakistan for the PTA with the approval of the Cabinet obtained in December 2004. After the finalization of the agreement, a summary was moved to the PM for approval. The agreement was subsequently signed during the D-8 Summit held in Bali (Indonesia) on 13-14 May 2006.
Under article 34 , the agreement will enter into force when at least four of the D-8 members submit instruments of ratification to the D-8 secretariat. The agreement has been ratified by Iran, Malaysia, Nigeria and Turkey(five countries) and has entered into force on 25th Aug ,11.