Barriers against agricultural exports from Pakistan : the role of WTO Sanitary and Phytosanitary agreement

The progressive liberalisation of world trade has created opportunities for Pakistan to become integrated into the global trading system and to exploit its national and regional comparative advantages. Evidence suggests that Pakistan has a potential comparative advantage over developed countries in the production of many agricultural products, such as cotton, rice, fruit, flowers, etc. However, the ability of the country to maintain or expand its world market share depends on its ability to meet the demands of the world trading system, not only in terms of competitive prices but also the quality of exportable products and their safety standards. Technical measures such as food quality and Sanitary and Phytosanitary (SPS) requirements under WTO may likely impede future trade of agricultural products from Pakistan. It is argued that Pakistan lacks the needed resources to participate effectively in the institution of WTO, and thus may be unable to fully exploit the opportunities provided by the Sanitary and Phytosanitary (SPS) agreement. The paper seeks to identify the means by which any negative effects of the SPS measures on Pakistan can be reduced. (Pak Development Rev/DÜI)