Work is underway to sign a Preferential Trade Agreement between Azerbaijan and Pakistan, and this process is expected to be completed in 2022, Pakistan's ambassador to Azerbaijan Bilal Hayee told Report.
According to him, after the signing of the agreement, it will be easier for a number of Pakistani products to enter the Azerbaijani market.
So, the agreement will allow a number of Pakistani products to enter the Azerbaijani market at low customs tariffs, the diplomat said adding that in the same way, it will be easier for several Azerbaijani products to enter the Pakistani market. The signing of this agreement will promote trade between Azerbaijan and Pakistan, the ambassador said, adding that he believes the Preferential Trade Agreement will really be very useful for Azerbaijani and Pakistani business.
Hayee added that Pakistani products are of high quality. Many Pakistani products can be imported, including rice, mango, as well as agricultural products, the diplomat said, noting that Pakistan's sports and construction products are also of high quality.
The ambassador said that Azerbaijani business representatives will be invited to Pakistan: “We organized an event in Baku yesterday to present Pakistani business opportunities. Now we are waiting for a delegation from Azerbaijan to visit Pakistan. In this way, this mutual cooperation will increase business opportunities between the countries. The governments of both countries are committed to facilitating business opportunities between the two countries.”
The Pakistani official noted that the event dedicated to Pakistan's business opportunities on May 7 has a special role in increasing trade turnover between the two countries: "This is the largest delegation from Pakistan to Azerbaijan after the pandemic. The delegation was from the Islamabad Chamber of Commerce and Industry of Pakistan. Various sectors are represented in the Chamber. The delegates will hold bilateral meetings with Azerbaijani business representatives. Pakistani companies will discuss business opportunities, activities in joint projects and investment opportunities with the Azerbaijani side. Sahib Mammadov, the Deputy Minister of Economy, Orkhan Mammadov, the Chairman of KOBIA, Yusif Abdullayev, the Chairman of AZPROMO attended the event. This shows the support of the Azerbaijani government for bilateral business relations. I hope that productive meetings will be organized for both sides."
He commented on the opening of direct flights between Islamabad and Baku from June 6: “The opening of this flight is a good step in terms of developing tourism between the two countries. Currently, there are also direct flights to Lahore, Pakistan. We know that many Pakistanis come to Azerbaijan for tourism and business. Therefore, the opening of flights is a great opportunity to bring together people from both countries."
Commenting on Azerbaijan's desire to open a Trade House in Pakistan, the ambassador said: "The Azerbaijani government should explore this opportunity to open a Trade House in Pakistan, and we are ready to help."
It is noteworthy that the number of Pakistani companies operating in Azerbaijan is 2,238. Pakistan has invested $4.2 million in Azerbaijan's non-oil sector.
The trade turnover between Pakistan and Azerbaijan in 2021 decreased by 11.6% compared to 2020, settling at $11,729,000. Exports to Pakistan have decreased by 55.4% to $738,670, while imports decreased by 5.4% compared to 2020 to $10,991,000 throughout the year.
In the first four months of 2022, trade turnover increased by 2.4 times compared to the same period in 2021 reaching $9,632,000. Exports to Pakistan have increased by 52.2% to $268,370, while imports increased 2.5 times compared to the same period in 2021 to $9.364 million throughout the year.