World Trade Organization Organisation Mondiale du Commerce Organización Mundial del Comercio

Pakistan 3:

The Secretariat has reported that about 685 tariff lines have alternate applied rates (specific +ad val). Major effect of such tariff is on textiles and clothing. The report has also mentioned that some goods have protection of around 600% (e.g. shawls and scarves) and the like of silk (598.32%) and scarves of silk (656.41%).

Although India has eliminated specific part of the tariff, for products included in reduction of tariff under SAFTA, Pakistan has a systemic concern on the high level of protection, for the reason that the SAFTA rates of duty can be availed after complying with stringent conditionalities of Rules of Origin. Is there any roadmap to address this high level of protection especially on textiles and garments?

Reply: The rules of origin under the Agreement on South Asian Free Trade Area (SAFTA) are the outcome of intense negotiations and mutual agreement between the contracting states and impact India's exports to all the other contracting states as much as they impact Pakistan's exports. Any proposal to amend the rules of origin would have to be mutually agreeable to all the parties to the Agreement.

Pakistan 4:

The Secretariat report has mentioned that pre shipment inspection is necessary for export of textiles to India. India is requested to provide further details of the pre shipment inspection regime currently applicable to imports of textiles in India, including the fee to be paid to authorized pre shipment inspection companies.

Reply: As per General Note 11 of the ITC(HS) Classifications of Export and Import items, import of textile, textile articles, woollen textiles and woollen blended fabrics are allowed to be imported only when the import consignments are accompanied by a pre shipment certification from a textile testing laboratory accredited to national accreditation agency of the country of origin (i.e. the exporting country). Further details are available at http://dgft.gov.in.

Pakistan 5:

Technical regulations and standards are established by India mainly in terms of the provisions of the Bureau of Indian Standards (BIS) Act 1986 and BIS Rules 1987. Presently, 81 products are subject to the mandatory BIS certification mark. India is requested to provide clarity on the following issues:

a) Products which are subject to mandatory BIS certification marks do not indicate Indian Customs Tariff code and many tariff lines are clubbed in a single product indicated in the list. This creates the issue of transparency and gives rise to disputes. Is there any roadmap to notify the standard against products classified in specific tariff headings and sub headings?