SAARC trade officials agree to work on larger framework for boosting intra-region trade

 In a video conference skipped by Pakistan, trade officials of the SAARC countries on Wednesday broadly agreed to identify new ways to "sustain and expand" the intra-regional trade to offset the huge economic cost of the coronavirus pandemic. The officials also deliberated on creating a larger framework of trade facilitation and highlighted the need to enhance the quantum of intra SAARC trade as the pandemic is likely to have a considerable impact on the region, the Ministry of External Affairs said. The deliberations took place as a follow up to an India-initiated video conference of SAARC leaders on March 15. Prime Minister Narendra Modi had suggested in the conference that the member nations of the bloc should come together to jointly fight the pandemic.

The South Asian Association for Regional Cooperation (SAARC) is a grouping comprising Afghanistan, Bangladesh, Bhutan, India, the Maldives, Nepal, Pakistan and Sri Lanka. All the SAARC member nations are reeling under adverse social and economic impact of the coronavirus pandemic. The MEA said all SAARC countries, except Pakistan, participated in the video conference among the trade officials.

"In order for the countries to deal with the situation, it was stressed that new ways and means be jointly identified to sustain and expand the intra-regional trade until the normal trade channels are fully restored," the MEA said in a statement.

It said the imperative need to maintain essential trade within the SAARC region was viewed as an important thrust area for favourable consideration. It said the impact of COVID-19 on regional trade and possible measures to mitigate it was seen as a new focus area for discussion in the larger framework of trade facilitation in the SAARC region. The MEA said the need to maintain essential trade within the region was viewed as an important thrust area. "Some specific issues addressed at the video conference included facilitation of trade through pragmatic solutions such as provisional clearance of imports at preferential duty with suitable conditions, provisional acceptance of digitally signed certificates of origin," the MEA statement said.

It said the pragmatic solutions examined at the conference also included acceptance of scanned copies of documents for clearance of imports by customs and release of payments by banks and resolving issues being faced for exports and imports at land customs stations. All participating countries proposed to remain in close and regular touch through a designated focal point in each country. The MEA said the Indian side offered to coordinate the exercise, which would also enable further interaction on ideas and proposed actions aimed at early restoration of normal trade after the current restrictions on movement are lifted. PTI MPB ZMN