Islamabad, 3 November 2021 (TDI):Ambassador of Thailand to Pakistan, Chakkrid Krachaiwong signified a Free Trade Agreement between Pakistan and Thailand. This development will surge the trade volume between the two countries. The Free Trade Agreement between Thailand and Pakistan will materialize by the end of this year.
Talks of establishing a FTA were first held in September 2015. The two countries have talked about the possibility of free trade during talks on potential trade between the two countries. The two countries will engage in the 10th round of FTA talks in the next month.
Pakistan and Thailand have a number of ongoing negotiations. These negotiations range from custom protocol, trade facilitation, regulations on market access.
Ambassador Chakkrid informed that Pakistan and Thailand are currently deciding on 200 priority items. consideration of priority items is under a proposed bilateral free trade agreement. Establishing a free trade zone will help the two countries in accessing the respective markets without barriers. Ambassador Chakkrid said free trade zone between the two countries will be beneficial for Thailand because Pakistan is world’s 5th largest market.
Pakistan’s Market is also beneficial for Thailand because it has a plethora of natural resources. The abundance of copper, coal, gold, and fishery resources makes Pakistani markets attractive for international consumers.
Pakistan needs to make the most out of the FTA and increase its exports to Thailand. According to data by United Nations COMTRADE database on international trade, Pakistan’s imports are more than its exports with Thailand. Pakistan’s exports to Thailand are around USD 141.53 million and imports around USD 896 million. Establishing a free trade zone would help Pakistan to balance its imports and exports.