ISLAMABAD: The National Assembly Standing Committee on Commerce on August 12 reviewed tariff reforms, export promotion measures, the performance of key trade-related entities, the Export Development Fund (EDF), proposed legislative amendments and Pakistan’s trade relations with major trading partners.
The meeting was held under the chairmanship of Mr Muhammad Jawed Hanif Khan, according to a press release issued by the National Assembly Secretariat.
The committee was informed about the implementation of tariff reforms, under which approximately Rs120 billion in tariff benefits had been passed on to industry during the year to support domestic production and improve competitiveness. The Ministry of Commerce also apprised the committee that previous tariff reductions had contributed to an estimated $1.27 billion increase in exports.
The chairman observed that tariff rationalisation should not be viewed merely as a concession to industry, but as a strategic measure aimed at reducing excessive taxation, lowering input costs and strengthening the international competitiveness of Pakistani products.
The committee also held a detailed review of the restructuring of the Export Development Fund. It was informed that the fund’s management had moved towards greater private-sector participation, with leading exporters playing a central role in setting priorities.
The committee appreciated the policy focus on initiatives having a direct and measurable linkage with export enhancement, instead of conventional infrastructure-oriented projects. It also examined the 40 per cent allocation of the Export Finance Scheme portfolio for small and medium enterprises and emphasised the need to ensure equitable and adequate access to export financing for smaller businesses.
The performance and investment strategy of Pakistan Reinsurance Company Limited also came under discussion. The committee was told that PRCL retained approximately 30pc of its risk, while around 70pc was placed in international reinsurance markets, including London, Dubai and Singapore.
The chairman stressed the need for prudent optimisation of the company’s resources and called for exploring avenues to enhance returns while maintaining sound risk-management practices.
The committee considered a private member’s bill proposing amendments to the Trade Organizations Act, titled The Trade Organizations (Third Amendment) Bill, 2026, concerning the Karachi Chamber of Commerce and Industry. During deliberations, the distinctive status of KCCI and the proposed exemption from certain district-based provisions were examined.
The chairman directed that the proposed amendments be properly framed in legal terms in consultation with the Ministry of Commerce and the Ministry of Law and Justice before being placed before the committee for further consideration.
The committee expressed serious concern over Pakistan’s persistent trade deficit with China and other free trade agreement partners and called for a comprehensive assessment of the factors behind the imbalance.
It also directed that relevant information concerning the Saindak project and mineral exports be provided to enable an assessment of whether Pakistan was deriving an appropriate economic return from its mineral resources.
The committee was apprised of the proposed GSP Plus scheme commencing from January 1, 2027, including the applicable transition period and compliance requirements. The chairman directed the Ministry of Commerce to furnish a detailed briefing on Pakistan’s preparedness, including opportunities, challenges and measures required to maximise the benefits of the scheme.
The financial position of the Trading Corporation of Pakistan was also reviewed. The committee expressed concern over TCP’s outstanding markup liabilities and directed that the matter be taken up with the Ministry of Finance and the State Bank of Pakistan. It also sought a comprehensive briefing on the outstanding liabilities and proposed measures for their settlement.
For further consideration and effective parliamentary oversight, the committee directed the Ministry of Commerce to submit detailed presentations and comprehensive reports on the Export Development Fund, GSP Plus, Pakistan’s trade deficit with China, Malaysia and Indonesia, and mineral exports.
To strengthen engagement with relevant stakeholders and facilitate on-ground assessment of trade-related institutions, the committee decided to hold its next meeting in Karachi, including site visits and detailed briefings at the offices of the Trade Development Authority of Pakistan and the Trading Corporation of Pakistan.
The meeting concluded with a vote of thanks by the chair to the members for their participation and contributions.
The meeting was attended in person by MNAs Ms Shaista Pervaiz, Ms Kiran Haider, Ms Tahira Aurangzeb, Mr Khurshid Ahmed Junejo, Dr Mirza Ikhtiar Baig, Mr Asad Alam Niazi, Dr Ramesh Kumar Vankwani and Mir Amir Ali Khan Magsi. Dr Farooq Sattar, mover of the bill, also attended the meeting. Senior officers from the Ministry of Commerce, Ministry of Law and Justice and National Assembly Secretariat were also present.
